U.S. lumber and panel market reports-20120130

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U.S. lumber and panel market reports

January 30, 2012

U.S.: Lumber and panel market report ---- Week 4 2012

Framing lumber sales were unremarkable and prices finished the week close to where they started it. Most buyers were in fill-in mode, and specified orders predominated. While prices were flat to mixed, more cracks opened in most species. Part of that trend was attributed to month-end, as producers discounted prompt loads. Weather hitting various regions of the continent cooled demand. Even so, the Random Lengths Framing Lumber Composite Price edged up $1, its sixth consecutive weekly gain.

Week
Jan 27

Week
Jan 20

Year Ago
2011

Random Lengths Framing Lumber Composite Price*
$284
$283
$303

KD Western S-P-F #2&Btr 2x4 R/L Mill Price
244

250
300

KD Eastern S-P-F #1&2 2x4 R/L, delivered Great Lakes
342

342
383

Green Douglas Fir Std&Btr 2x4 R/L (Portland)
227

225
262

Southern Pine (Westside) #2 2x4 R/L
317

311
334

KD Coast Hem-Fir Std&Btr 2x4 R/L
260

260

295

Ponderosa Pine (Inland) #2&Btr 1x12 R/L
595

585

575

* Weighted average of 15 key items

Some structural panel prices fell hard. OSB mostly steered clear of the sharp downward price pressure evident in markets for veneered panels. Demand was weak, however, and sales lagged production. Pricing in the Southern Pine rated sheathing market was messy and unusual. Some westside producers lowered quotes sharply and opened wide to counters while eastside producers watched. Buyer urgency subsided in western Fir plywood markets, leaving secondaries with uncomfortably long positions in sheathing.

(f.o.b. mill prices)	Week Jan 27	Week Jan 20	Year Ago 2011
Random Lengths Structural Panel Composite Price*	$323	$332	$298
Southern (west-east) 15/32-inch 3-ply exterior sheathing plywood	335-375	355-375	295-325
Southern (west-east) 15/32-inch 4-ply exterior sheathing plywood	340-400	365-403	315-340
Western 1/2-inch 4-ply exterior sheathing plywood	355	363	315
North Central 7/16-inch Oriented Strand Board	202	205	195
*Weighted average of 11 key items

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(Source: Used with permission granted by Random Lenghts Publications, Inc.)