3.28 Soda Ash Daily Review: Soda Ash Market is Running Weakly and Steady

Soda ash market analysis

Today, the domestic soda ash market is running weakly and steadily. As of now, the price of light soda ash in the southwest region is 1400-1500 yuan/ton, and the price of heavy soda ash is 1500-1600 yuan/ton; the price of light soda ash in central China is 1300-1550 yuan/ton, and the price of heavy soda ash is 1450-1600 yuan/ton. The operation of soda ash units is generally stable, and the supply remains high. Downstream procurement is still mainly based on rigid demand replenishment, and the overall demand has not seen a significant increase in volume, and the market transaction atmosphere is general; due to the lack of real upward momentum, the price of soda ash has not been adjusted at the end of the month, and the market is in a wait-and-see mood.

Futures dynamics
According to Boduoduo data: On March 28, the opening price of the main soda ash contract SA2505 was 1416 yuan/ton, and finally closed at 1393 yuan/ton, with a daily increase of -2.11%. The highest intraday price was 1422 yuan/ton, the lowest was 1385 yuan/ton, and the total position was 1167064 lots, up 83089 lots month-on-month.

Today, the price of soda ash futures fell sharply, and there was a sign of increasing positions and breaking the shock range. On the one hand, the maintenance of large soda ash factories has officially ended, and the supply disturbance has been fulfilled when it had the greatest impact. There is no new story hype for the time being. On the other hand, the downstream glass price has weakened significantly, and the acceptance capacity of soda ash has decreased, forming a linkage effect. In the short term, the fundamentals of soda ash itself are weak, and the main expectation is still the problem of demand recovery. In the future, attention will be paid to whether the demand in the terminal market can form a positive transmission to the commodity again.

Market forecast
After the soda ash maintenance equipment is restored, the supply of soda ash will hover at a high level; downstream demand is poor, and the soda ash market is insufficiently driven; it is expected that the soda ash market will be narrowly consolidated in the short term, and attention should still be paid to the subsequent device dynamics and changes in the downstream procurement rhythm.