Amid sustained demand and takeaway, most lumber and stud commodity prices
stayed firm or appreciated. Plywood and OSB continued to struggle by
comparison, the latter being particularly frustrating for players in the
North America.
In the week ending August 2, 2024, the price of Western S-P-F 2x4 #2&Btr KD
(RL) was US$354 mfbm, said forest products industry price guide newsletter
Madison’s Lumber Reporter. This is up +$6, or +2%, from the previous week
when it was $348.
That week’s price is up +$15, or +4%, from one month ago when it was US$339
mfbm.
When compared to the same week last year, when it was $426, this week’s
price is down -$72, or -17%.
There was enough sales volumes for suppliers to be able to firm up prices,
potentially providing understanding of the new bottom. A few more
curtailment announcements as well as the annual seasonal holiday break in
Quebec helped correct the supply-demand balance. As they had been warned by
sellers since spring, customers found themselves sorely without inventory.
Those needing specific tallies had a hard time locating precisely the mix of
commodities for their ongoing projects. One thing is for sure: all sawmills
across North America are well stocked up with logs.
So should this latest boost of demand continue, producers will have no
trouble increasing manufacturing volumes to meet.
In the week ending August 2, 2024, the price of Southern Yellow Pine East
Side 2x4 #2&Btr KD (RL) was US$380 mfbm. This is up +$15, or +4%,from the
previous week when it was US$365 mfbm.
That week’s price is up +$31, or +9%, from one month ago when it was US$349
mfbm.
When compared to the same week last year, when it was $415, this week’s
price is down -$35, or -8%.
MADISON’S BENCHMARK TOP-SIX SOFTWOOD LUMBER AND PANEL PRICES: MONTHLY
AVERAGES
KEY TAKE-AWAYS:
Buyers struggled to keep their inventories from utter depletion.
Sawmills experienced firm to slightly-up price levels and order files into
mid-August.
Buyers worked to cover needs that built up when the market was slower and
supply more abundant.
Prompt availability was lower than players have seen in many weeks.
Buyers needing quick coverage scrambled, looking to the distribution
network.
Shipments from many producers were into mid-August or further, with higher
price levels to boot.
Some thought commodity prices were approaching a soft top after several
weeks of advancing.
Sellers reported high truck volume sales.
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