Lumber and Panel Market Report: June 17, 2016
Random Lengths Lumber Market Report
Mid-June sales were unremarkable, and traders struggled to discern the softwood lumber market’s near-term course. This led to conservative, just-in-time purchasing, with buyers taking care to avoid adding to their inventories. Quick shipments were a priority, fueling the notion that there was little inventory cushion in the distribution system. Mills, meanwhile, worked to push order file through the July 4 holiday. Buyers shopped hard to find the tallies they needed, often paying full price when they found them.
|Random Lengths Framing Lumber Composite Price*||$349||$352||$332|
|KD Western S-P-F #2&Btr 2×4 R/L Mill Price||320||320||291|
|KD Eastern S-P-F #1&2 2×4 R/L, delivered Great Lakes||420||415||384|
|Green Douglas Fir Std&Btr 2×4 R/L (Portland)||350||353||320|
|Southern Pine (Westside) #2 2×4 R/L||381||388||344|
|KD Coast Hem-Fir #2&Btr 2×4 R/L||370||372||315|
|Ponderosa Pine (Inland) #2&Btr 1×12 R/L||705||705||670|
|* Weighted average of 15 key items|
Random Lengths Panel Market Report
Plywood sales outpaced OSB amid a mixed structural panel market. Prices of OSB continued to slide as producers searched for levels that would entice buyers to purchase more than fill-in loads. Southern Pine plywood sales accelerated Wednesday, spurred by reports of mill downtime to be taken the week of July 4. A perception of little to no downside risk was another incentive for buyers. Some western Fir producers noted the week was the best they had experienced in 18 months.
|(f.o.b. mill prices)||This Week
|Random Lengths Structural Panel Composite Price*||$371||$372||$372|
|Southern (west-east) 15/32-inch 3-ply rated sheathing plywood||360-380||355-375||415-442|
|Southern (west-east) 15/32-inch 4-ply rated sheathing plywood||362-380||355-375||420-442|
|Western 1/2-inch 4-ply rated sheathing plywood||383||371||415|
|North Central 7/16-inch Oriented Strand Board||277||280||208|
|*Weighted average of 11 key items|
Source: Random Lengths, republished here with permission granted by the publisher.