U.S. lumber and panel market reports-20120812

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U.S. lumber and panel market reports

August 12, 2012

U.S.: Lumber and panel market report ---- Week 32 2012

Key framing lumber prices posted another round of solid gains, as a surge in sales on Wednesday pushed many producers' order files into late August or early September. The trend was mixed in Southern Pine, but overall the level of consumption surprised many traders. After weighing customers' needs against mill order files pushing into the second half of August, many secondaries came back into the market to replenish inventories. As files pushed late into the month and early September, western and Canadian mills got more aggressive in raising quotes.

Week
Aug 10

Week
Aug 3

Year Ago
2011

Random Lengths Framing Lumber Composite Price*
$334
$330
$267

KD Western S-P-F #2&Btr 2x4 R/L Mill Price
309

303
230

KD Eastern S-P-F #1&2 2x4 R/L, delivered Great Lakes
414

408
323

Green Douglas Fir Std&Btr 2x4 R/L (Portland)
302

293
250

Southern Pine (Westside) #2 2x4 R/L
339

334
276

KD Coast Hem-Fir Std&Btr 2x4 R/L
320

313

265

Ponderosa Pine (Inland) #2&Btr 1x12 R/L
485

500

538

* Weighted average of 15 key items

Structural panel markets stayed hot. OSB mills pressed harder on the accelerator, leading to some prices posting their sharpest week-over-week gains since April 2010. Southern Pine plywood trading at the mill level was measured compared to last week's hectic pace, and sheathing prices appreciated at a more moderate rate. Action was focused on the secondary market. A rally in OSB contributed to western Fir plywood buyers' decisions to fortify depleted inventories. Sales of sheathing accelerated as the week progressed.

(f.o.b. mill prices)	Week Aug 10	Week Aug 3	Year Ago 2011
Random Lengths Structural Panel Composite Price*	$425	$403	$289
Southern (west-east) 15/32-inch 3-ply exterior sheathing plywood	427-462	415-450	284-320
Southern (west-east) 15/32-inch 4-ply exterior sheathing plywood	438-478	428-470	293-325
Western 1/2-inch 4-ply exterior sheathing plywood	455	450	312
North Central 7/16-inch Oriented Strand Board	320	285	195
*Weighted average of 11 key items

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