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U.S. Softwood lumber and panel market reports
March 6,2007

U.S.: Lumber and panel market report

Winter weather and bearish attitudes resulted in sluggish lumber sales and an overall softening trend in prices last week. Traders cited many factors for taking a cautious approach, usually starting with the weather. Snow and ice across northern tier states and flooding through the Upper Midwest kept a tight lid on consumption in these regions. In contrast, the South was mostly dry and demand was steady. The pace lagged activity seen the previous week, but Southern Pine prices moved higher on momentum.
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Panel market

Structural panel sales faded and prices gave ground. Bad weather preoccupied traders across much of North America, limiting liquidity. Loads for shipment next week were still available in some markets Friday morning. Southern Pine plywood markets that were stable early unraveled on Wednesday after several westside producers offered volumes of sheathing at discounts. Some western Fir plywood producers, running out of order files for sheathing and underlayment, sold at discounts or listened to counters.

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