Analysis of soda ash market
Today, the price of soda ash in China has temporarily stabilized. As of now, the price of light soda ash in Southwest China is 2,100 - 2,200 yuan/ton, and the price of heavy soda ash is 2,200 - 2,400 yuan/ton; the price of light soda ash in Northwest China is 1,900 - 2,000 yuan/ton, and the price of heavy soda ash is 1,900 - 2,000 yuan/ton; Recently, the soda ash market price has remained stable. Companies have delivered orders on hand, and the market production and sales are basically balanced. New orders are mainly for low-priced orders. Downstream companies still have resistance to high-priced soda ash. Purchasing remains cautious, and the soda ash market is operating stably.
Futures dynamics
According to Boduo data, the opening price of SA2409, the main contract for soda ash, on May 7, was 2268 yuan/ton, and finally closed at 2227 yuan/ton, an increase of +0.59% within the day. The intraday high was 2300 yuan/ton, the lowest was 2206 yuan/ton, with a total position of 796070 lots, a month-on-month +17244 lots.
Today, soda ash futures prices surged and fell back, and market sentiment weakened. Spot market prices are relatively stable, which suppresses the upside of futures prices to a certain extent, but also supports the bottom of prices. The current supply reduction and demand growth expectations faced by the main contract have not yet been falsified, and the upward trend has not yet been broken. However, with the growth of downstream raw material inventories and the resistance to high-priced raw materials, it is difficult for the market to form further positive feedback in a short period of time. In the short term, the market may turn high and fluctuate, waiting for new drivers.
market outlook
The installation starts of some enterprises in the northwest region have gradually increased, while individual enterprises in South China, Central China and Northwest have reduced their quantities, and the market starts have been adjusted within a narrow range. Companies can still place orders in the short term, the transaction atmosphere is relatively good, some prices can be negotiated, and the mainstream price of soda ash is basically stable., the market price of soda ash may continue to operate firmly in the short term.
