The hottest glass market economic work conference

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Glass Market: the economic work conference brings warmth, bitterness and other changes in supply and demand

at present, the price of glass is close to the bottom area, and there is limited room for decline. Of course, it is not ruled out that the futures price will fall below the cost price, but this situation will not last long

in recent years, the glass industry has always felt cold in the middle of winter. In particular, in the winter of this year, under the background of honger's economic downturn, which fell to US $17 million in March, glass enterprises did everything they could to vigorously promote sales, resulting in glass prices falling again and again. This atmosphere is vividly reflected in the trend of glass futures on the day of listing. It can be said that the glass market is waiting for a change in supply and demand

the central economic work conference brings warmth

the just concluded central economic work conference has formulated an overall framework for next year's economic development and delivered the following major messages: first, it will continue to implement an active fiscal policy and a prudent monetary policy, which means that the country will take major measures in fiscal taxation, especially in tax reduction; Second, actively and steadily promote the construction of urbanization, strengthen the guarantee of people's livelihood, improve people's living standards, and strive to improve the quality of urbanization, which is the long-term task of building a moderately prosperous society in an all-round way and the greatest potential for expanding domestic demand; Third, speed up the adjustment of industrial structure and improve the overall quality of the industry. At present, the market is generally expected to further enhance the improvement of China's medium and long-term economic growth, especially the above three measures are substantially beneficial to the glass and other building materials and real estate markets

obvious seasonal and regional characteristics

glass prices have strong seasonal and regional characteristics, that is, in winter, the price of glass in the North drops, while in summer, the price of glass in the South loosens. At present, northern glass enterprises have to rely on the "winter storage" of midstream and downstream enterprises to survive the long winter, but the essence of the "winter storage" is that glass enterprises obtain financial support from users through substantial interest transfer. The glass "winter storage" conference held in the first ten days of this month set the price of this year's glass winter storage at 1000-1100 yuan/ton, which is already a rare preferential price in history and the bottom line for glass enterprises to make profits. Due to the clear price of "winter storage", the current market price reduction expectation is no longer strong

the glass futures market is waiting for a change in supply and demand.

at present, the national glass sales price is generally stable, the output is basically balanced, and the market mentality is calm. However, the glass price has not yet shown signs of strengthening. The "China glass composite index" on December 17 was 1030.30 points, down 1.91 points from the 14th

according to our calculation, the cost of glass produced with petroleum coke as fuel is about 1289 yuan/ton, the cost of glass produced with natural gas as fuel is about 1413 yuan/ton, the cost of glass produced with coal tar as fuel is about 1586 yuan/ton, the cost of glass produced with heavy oil as fuel is about 2050 yuan/ton, and the minimum production cost of glass is around 1280 yuan/ton. From this point of view, the current glass futures price is close to the bottom area, and there is limited room for decline. Of course, it is not ruled out that the futures price will fall below, but although one electronic load may provide multiple load modules to enter the system and exit the cost price of the screen, this situation will not last long if only the tensile control experiment of non vulcanized sheet is carried out

for the glass industry, winter is over, and spring is not far away

(author: Hualian futures)

the content of this article is for reference only and does not constitute investment advice. Investors operate accordingly at their own risk

China glass () Department

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