News summary
Wall Street Journalfreetexasholdempokeronline: Dongyue Group's share price soared 6freetexasholdempokeronline.45%, reaching HK$9.56, with active trading. With the arrival of the peak season for air conditioning, demand for refrigerants is strong, driving the prosperity of the third-generation refrigerant market to rise. Huachuang Securities pays attention to the utilization of quotas and predicts that prices may change during the short and peak seasons.
Newsletter text
[Dongyue Group's shares quickly climbed more than 7%]
Purchasing power surged, and Dongyue Group's (00189) share price showed strong growth. As of reports, the stock price rose to 6.45%, reaching HK$9.56, and the total transaction volume climbed to HK$134 million.
[Supply and demand in the refrigerant market are stabilizing, and prices are operating at high levels]
Market data shows that refrigerant prices generally remain at a relatively high level, especially the price performance of R32 and R22 products is particularly prominent. With the arrival of the peak production season in the air-conditioning industry, the exhaust output of air-conditioning companies increased significantly in May, driving the growth of refrigerant demand. The supply and demand structure has improved. After the implementation of the third-party refrigerant quota plan, the market supply side has stabilized.
[Demand for air conditioners and other terminals is stable, and demand for third-generation refrigerants is bullish]
With the steady growth of demand in industries such as air conditioning, as the second-generation refrigerant gradually withdraws from the market, it is expected that the third-generation refrigerant will usher in an increase in demand, further promoting its prosperity.
[R32 and R125 quotas are overutilized, and supply is expected to be tight in the second half of the year]
Huachuang Securities 'monitoring of quota utilization shows that the quota utilization of R32 and R125 from January to April has exceeded expectations, which may mean that quotas will face tight situations in the second half of the year. The current price model may change. The rapid consumption of quotas in peak seasons may lead to further price increases in off-season due to insufficient quotas.