Between July 31st and August 17th, the MCI index added 26.7 points from 5908.1 to 5934.8. Leading global panel makers have released their Q2 financial results: due to rapid inventory replenishment in 1H09, the issue of panel short supply surfaced, which led to persistent panel price increase and outstanding revenue performance of panel makers. For the same reason, it has brought some concerns of oversupply in the coming hot season – according to Witsview, current panel inventory level has returned to a healthy status, and the equilibrium of supply and demand has been restored; with supply gap filled, further capacity ramp up may lead to potential oversupply and trigger a turning point in panel price.
That said, the recent earthquake has forced Corning to temporarily shut down its glass substrate production in Shizuoka, Japan; aside from its impact on Sharp’s G8, other TV set vendors supplied by SHARP may also be affected. Therefore, WitsView believes that as panel prices of TV stabilize in 1HAug, it remains to be seen whether other variables may shake panel price trends in future.
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