5.7 Glass Daily Review: Float glass market is going sideways

Float glass market price

Float glass market analysis

Today, the domestic 5mm float glass market was sideways. Among them, the price of small plates of individual manufacturers in Shahe area was slightly loose, and the overall transaction was relatively light. The mainstream price in the Northeast market remained stable. In order to promote outbound sales, some manufacturers provided certain price discounts for cross-provincial orders. The shipment rhythm in the Central China market was stable, and the actual transaction maintained a certain negotiation space. 

The inventory pressure of individual manufacturers was reduced due to the contraction of production capacity. Other regions still mainly shipped at a stable price, and the shipment rhythm was generally slow. The downstream purchasing intention was still cautious. The market was mainly supported by rigid demand, and there was no obvious sign of improvement.

Futures dynamics

According to Boduoduo data: On May 7, the opening price of the main glass contract FG2509 was 1082 yuan/ton, and the closing price was 1074 yuan/ton, with an intraday increase of 0.09%. The highest price during the session was 1092 yuan/ton, the lowest price was 1069 yuan/ton, the position was 1258220 lots, and the daily increase was 64223 lots.

Today, the price of glass futures rose and fell with the market environment. The main reason is that the market trading last night and the policy expectations that may be given at the press conference of the State Council Information Office this morning, but the market sentiment immediately fell after the expectations were fulfilled. The fundamentals of glass itself are still weak, and the weak expectations of weak demand are strongly suppressed. The inventory pressure of manufacturers may gradually increase. On the basis of no obvious production line expansion and cold repair on the supply side, it may be difficult to give a rebound drive from the fundamental perspective. However, after the spot price fell, production and sales in some regions did improve, providing some support for the market. However, given that the downstream purchasing willingness and its own scale are both weakening, whether demand can support the continued recovery of production and sales still needs to be considered. In the short term, it is mainly to maintain weak stability and wait.

Market forecast

The float glass market has shown a stable operation trend after the holiday, and the mainstream price remains stable. Although some manufacturers are planning to raise prices slightly, the overall market lacks strong upward momentum due to the weak performance of terminal demand. In the short term, under the situation of relatively balanced supply and demand fundamentals, it is expected that the float glass market will continue to fluctuate in a narrow range.

Data source: Boduoduo Data Group