Analysis of soda ash market
Today, China's soda ash market continues to be weaker than last Friday. As of now, the price of light soda ash in North China is between 1,550 - 1,700 yuan/ton, and the price of heavy soda ash is between 1,650 - 1,800 yuan/ton; the price of light soda ash in Northwest China is between 1,050 - 1,200 yuan/ton, and the price of heavy soda ash is between 1,050 - 1,200 yuan/ton. There are both start-up and shut-down devices in the soda ash market. Although some soda plants have reduced their inventories, their inventories are still at a high level and supply is still loose; the overall downstream demand capacity is not strong, and procurement is still dominated by just demand. The actual transaction volume is still difficult to improve. The operation of the soda ash market is still showing weakness.
Futures dynamics
According to Boduo data, the opening price of SA2501, the main contract for soda ash, on September 23, was 1339 yuan/ton, and finally closed at 1361 yuan/ton, an increase of 0.29% within the day. The highest intraday session was 1380 yuan/ton, the lowest was 1329 yuan/ton, with a total position of 1362027 lots, a month-on-month period of-45404 lots.
Today, soda ash futures prices rebounded mainly from low levels, mainly affected by various supply disturbances and rumors of increased demand over the weekend. The main short players reduced their positions to avoid risks. In addition, news of the upstream joint meeting once again came out in the market, which also provided certain support for prices. Overall, the above-mentioned disturbance events did provide a certain degree of elasticity to prices, but the suppression of price elasticity was still strong until the core contradiction of insufficient demand acceptance improved. In the short term, we can wait and see how the above events will evolve, and the recent recurrence of macro news cannot be ignored. The market is temporarily or at low levels.
market outlook
In the early stage, the maintenance equipment of some soda plants has gradually resumed and been put into operation, and the output will increase slightly; downstream purchases will continue to be made in a small amount on demand, and it is expected that the soda ash market will remain weak in the short term.
