Float glass market sentiment cools and prices fall back

Float glass market price

Analysis of float glass market

Today, the market price of 5mm float glass in China has stabilized in many places, and has been lowered in some regions. Market sentiment in North China has weakened. The price of 5mm large plate float glass in Shahe fell by 40 yuan/ton to 1112 yuan/ton. The production and sales of some manufacturers are weak, and the shipment situation is average; the price in East China has been lowered by 10 yuan/ton, and the market trading atmosphere has slowed down compared with the pre-holiday period, and the downstream wait-and-see mood has increased; the quotations of float glass manufacturers in other regions have temporarily stabilized, and the overall transaction situation is average. Today, some production lines in Sichuan were on fire, and the market operating rate fluctuated slightly; affected by the cooling of macro sentiment, downstream demand support weakened, and the wait-and-see attitude was strong.

Float Glass Index Analysis

According to data from Boduo, the float glass price index on October 9 was 1,157.76, down 17.6 from the previous working day, with a range of-1.50%.

Futures dynamics

According to data from Boduo, the opening price of FG2501, the main glass contract, on October 9, was 1213 yuan/ton, and finally closed at 1187 yuan/ton, an increase of-6.97% within the day. The intraday high was 1226 yuan/ton, the lowest was 1180 yuan/ton, holding 979671 lots, a month-on-month +66011 lots.

Today, glass futures prices continue to operate in a weak position. As macro sentiment fell, the spot market cooled down simultaneously. Production and sales in core areas continued to weaken month-on-month, quotations were slightly lowered, and positive market feedback temporarily ended. The logic of large excess continues to suppress prices strongly, but the selling pressure on the industry has slowed down after the current profit on the glass market has narrowed.Overall, the current market is still guided by macro sentiment, and basically revolves around the trend of the stock index during the day. Although the current macro sentiment has declined due to the cooling guidance of high-level officials, it still cannot falsify the expectation of subsequent policies to increase expectations. In the short term, the market waits for this Saturday. How will the fiscal policy issues that have attracted much attention at the press conference evolve? Before that, market volatility may have been relatively limited.

market outlook

The favorable policies have limited impact on the fundamentals of the float glass market. Downstream demand may improve less than expected. The overall demand performance is flat. The float glass market is expected to fluctuate within a narrow range in the short term.