Random Lengths North American framing lumber composite edges US$1 higher to US$344/mbf on higher-than-expected sales in run-up to holiday weekend
May 27, 2012
– In the week sandwiched between the Victoria Day long weekend in Canada and the Memorial Day weekend in the U.S., markets were busier than expected, particularly on Wednesday, reported Random Lengths.
The Random Lengths framing lumber composite edged US$1 (0.29%) higher to finish the week at $344 per thousand board ft. (mbf) compared with $343/mbf in the week ending May 18. Compared to the price at this time last year ($259/mbf), the composite was $85 (32.82%) higher.
In Western SPF markets, producers held to quotes on #2&Btr in a $308-$317 range, despite a slower pace of sales. The reported price of KD Western SPF #2&Btr 2x4 gained $1 (0.32%) to reach $309/mbf – up $82 (36.12%) from the price reported at this time last year of $227/mbf.
Sales of Eastern SPF were fair, even though many traders were away from their offices. The reported price of KD Eastern SPF (delivered Great Lakes) #1&2 2x4 advanced $3 (0.76%) to $400/mbf, and was $74 (22.70%) higher than the price reported this time last year of $326/mbf.
In Southern pine markets, price trends were mixed. Producers on the Eastside discounted most #2 dimension items and random loads of 2x4-2x10 fell $3-$10, reported Random Lengths. But in the Westside and central zones, prices finished close to the previous week’s levels.
The reported price of KD Southern pine (Westside) #2 2x4 random held at $360/mbf for a second straight week, and was $92 (34.33%) higher than the price reported at this time a year ago of $268/mbf.
Douglas fir traders reported a busier pace of sales than expected in the run-up to the holiday weekend, reported Random Lengths. Producers were prepared to make modest concessions on price, most notably on #2&Btr 2x10, but rejected sharp counters.
The reported price of Green Douglas fir (Portland rate) Std&Btr 2x4 held at $250/mbf for a third consecutive week, and was $5 (2.04%) higher than the price reported at this time a year ago of $245/mbf.