The frenzied pace of trading in many framing lumber species in recent weeks gave way to a calmer tone, although last week’s surge followed through in Southern Pine. Trading in many species shifted to the secondary level, where wholesalers and distributors were focused on selling from inventories built up in the recent rally. Sticker shock among retailers was a factor, as were the holidays next week in Canada and the U.S. The Random Lengths Framing Lumber Composite Price rose $9, led by gains in Southern Pine.
| This Week Jun 28 |
Last Week Jun 21 |
Year Ago 2018 |
|
| Random Lengths Framing Lumber Composite Price* | $354 | $345 | $547 |
| KD Western S-P-F #2&Btr 2×4 R/L Mill Price | 392 | 390 | 590 |
| KD Eastern S-P-F #1&2 2×4 R/L, delivered Great Lakes | 460 | 445 | 680 |
| Green Douglas Fir Std&Btr 2×4 R/L (Portland) | 338 | 323 | 565 |
| Southern Pine (Westside) #2 2×4 R/L | 351 | 332 | 544 |
| KD Coast Hem-Fir #2&Btr 2×4 R/L | 387 | 378 | 600 |
| Ponderosa Pine (Inland) #2&Btr 1×12 R/L | 855 | 860 | 775 |
| * Weighted average of 15 key items | |||
Random Lengths Panel Market Report
Structural panel prices gained ground amid mixed trends in overall trading. OSB sales slowed from last week’s rapid pace, but prices in northern regions posted increases for the second consecutive week. In Southern Pine plywood, a perception of bottoming prices combined with emerging needs fueled steady trading and kept prices on mostly firm footing. After months of dull trading, sloppy prices, and little confidence in the western Fir plywood market, traders sensed a better tone. Canadian plywood trading picked up later in the week.
| (f.o.b. mill prices) | This Week Jun 28 |
Last Week Jun 21 |
Year Ago 2018 |
| Random Lengths Structural Panel Composite Price* | $342 | $334 | $553 |
| Southern (west-east) 15/32-inch 3-ply rated sheathing plywood | 340-380 | 340-380 | 510-545 |
| Southern (west-east) 15/32-inch 4-ply rated sheathing plywood | 345-385 | 345-385 | 515-550 |
| Western 1/2-inch 4-ply rated sheathing plywood | 355 | 352 | 547 |
| North Central 7/16-inch Oriented Strand Board | 200 | 182 | 445 |
| *Weighted average of 11 key items | |||
Industry News In “Through A Knothole”
Below are headlines of recent articles in the “Through A Knothole” section of our full newsletter, featuring articles of interest to the industry, including production/price trends, market analysis, trade issues, timber supplies, and much more.
This Week in the “Through a Knothole” Section of Random Lengths
- Conventional wisdom dictated to traders in the non-structural panel industry that as new capacity expansions in the South and Upper Midwest ramped up, prices would fall. That outlook has shifted dramatically in recent weeks, as supply disruptions and announced mill closures constrained particleboard supplies in key markets.
- Lumber imports from Canada declined and European shipments to the U.S. increased significantly last year. However, the transition has moderated through April of this year.
- Price spreads between grades of Southern Pine lumber have shifted significantly with market volatility in the past year, but the gap between #2 and #3 2×6 on the westside swung dramatically and narrowed to single digits last month.
- Almost two months since the U.S.-China trade war escalated with tit-for-tat tariffs more than doubling on billions of dollars worth of goods shipped between the two countries, softwood lumber exporters are searching for alternatives with no resolution on the horizon.
- Go to: Lumber Report|Panel Report | Industry News in Through a Knothole
- This report contains brief excerpts from our full newsletter, which includes prices of more than 1,600 lumber and panel items, plus detailed summaries of market activity.
