7.19 | Jubo Glass Weekly Review (No.67): Glass futures plunged sharply, and spot market stocks resumed accumulation.

Weekly Trend of Glass Futures and Spot Prices (7.13-7.17)

Glass futures fluctuated lower this week, with the FG main continuous contract falling RMB 52 per ton within the week.

Glass spot prices edged down on steady fundamentals, and the national average market price dropped RMB 6 per ton week-on-week.

Weekly Analysis of Glass Futures and Spot Market

• Fundamentals

Supply side: Two production lines shut down and two switched formulas this week, pulling down overall operating rate slightly. Overall trading was fair while shipments faced mild pressure in some regions; industry inventories resumed accumulation, rising 0.14% week-on-week.

Demand side: Hit by typhoons and high temperatures, downstream buyers only covered minimal rigid demand. Some manufacturers cut prices to clear stocks, pushing average transaction prices lower, yet sales improved marginally in partial regions.

• Technical aspect

The main glass futures contract trended downward with high at 967 and low at 900 this week.

Technically, the K-line pattern broke the bottom consolidation range and slid unilaterally to a new periodic low. Bearish sentiment surged on Friday, triggering a sharp plunge in futures prices. The weekly candlestick closed as a solid full-bodied big bear candle with barely any lower wick, marking an end to the prior bottom consolidation phase as bears regained full control.All-period moving averages formed a complete bearish sequence, exerting consistent downward pressure with no technical support. Short-term daily MA lines sloped steeply downward; medium & long-term MAs diverged sharply from spot prices, confirming a medium-term downtrend.

• Market Outlook

Fundamentally, the glass spot market remains oversupplied amid weak demand with divergent regional shipments. Some producers slash quotations to destock, leaving spot prices vulnerable to further declines.

Technically, RSI dipped into deep oversold territory after Friday’s massive slump, hinting at a minor technical corrective bounce. Nevertheless, full-period bearish MA alignment and expanding MACD bearish momentum will sustain the dominant long-term downtrend.

Disclaimer: Market investment carries risks. Please make independent and prudent decisions. All data and information herein are sourced from public online materials. The opinions are only for industry discussion and do not constitute investment advice. We assume no liability for any actions taken based on this content.

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