Shouchuang Futures: Real estate data remains weak, and glass futures are under pressure.

In the spot market, the spot price of float glass is 1161 yuan/ton, an increase of 2 yuan/ton compared to the previous trading day. Some companies in Shahe have raised the prices of small sheets, while large sheets remain stable, with decent transaction volumes. The Beijing-Tianjin-Tangshan market continues to be stable, with varying shipping conditions among companies.

On the supply side, the 600-ton production line of Guangzhou Fuming was put into operation on the evening of the 13th, and the 600-ton production line of Chongqing Wansheng Fuyao Glass was put into operation for cold repair on the 15th, causing the daily melting volume of float glass to further decline to 145,800 tons. There are currently 207 domestic glass production lines in operation, 87 lines undergoing cold repairs, and the capacity utilization rate is 73.25%. Last week, the total inventory of float glass companies dropped by 4.7 percentage points compared to the previous week. This week, some production lines have expectations of resuming operations, and the daily melting volume may continue to decline.

On the demand side, downstream demand is recovering slowly, with poor orders from deep processing companies and high inventory pressures at original sheet companies continuing to suppress prices. The terminal real estate data remains weak, with a year-on-year decline of 11.1% in real estate development investment growth and a year-on-year decline of 13.5% in the sales area of commercial housing from January to February this year, and a year-on-year decline of 27.9% in the area of completed houses.

Overall, with changes in float glass production lines, the daily melting volume has slightly declined, and float glass inventory has decreased. However, the weak performance of real estate data is dragging down the glass market performance. It is expected that short-term glass futures prices will exhibit weak fluctuations, with attention on cost price trends, downstream order conditions, and production line changes. (CICC Futures)