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U.S. lumber and panel market reports

September 11, 2012

U.S.: Lumber and panel market report ---- Week 36 2012

Post-Labor Day sales of framing lumber were hit and miss. Gainers outnumbered losers in Southern Pine, as demand from Texas held up and central zone mills got untracked following last week¡¯s hurricane. Elsewhere, soft prices were widespread. Cuts were not particularly deep, although suppliers at all levels reported that their customers sometimes countered them hard. A key priority for many buyers was prompt shipment, limiting their negotiating power. The Random Lengths Framing Lumber Composite Price slipped $1.

Week
Sep 7

Week
Aug 31

Year Ago
2011

Random Lengths Framing Lumber Composite Price*
$341
$342
$259

KD Western S-P-F #2&Btr 2x4 R/L Mill Price
308

312
257

KD Eastern S-P-F #1&2 2x4 R/L, delivered Great Lakes
411

417
338

Green Douglas Fir Std&Btr 2x4 R/L (Portland)
307

317
245

Southern Pine (Westside) #2 2x4 R/L
374

366
244

KD Coast Hem-Fir Std&Btr 2x4 R/L
322

327

265

Ponderosa Pine (Inland) #2&Btr 1x12 R/L
465

460

530

* Weighted average of 15 key items

Structural panel sales were quiet. OSB mill prices drifted sideways in slow trading. Much of the week¡¯s action was at the secondary level, where wholesalers and distributors took profits on what they owned. Southern Pine plywood sales faded to a trickle. Buyers confined purchases to immediate needs, citing concern about downside risk. Producers showed little urgency to chase orders with discounts. Western Fir mills conceded little on sheathing, even as sales failed to keep pace with production.

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(f.o.b. mill prices)	Week Sep 7	Week Aug 31	Year Ago 2011
Random Lengths Structural Panel Composite Price*	$458	$456	$290
Southern (west-east) 15/32-inch 3-ply exterior sheathing plywood	437-477	437-477	298-325
Southern (west-east) 15/32-inch 4-ply exterior sheathing plywood	455-487	455-487	304-335
Western 1/2-inch 4-ply exterior sheathing plywood	470	470	326
North Central 7/16-inch Oriented Strand Board	360	360	190
*Weighted average of 11 key items

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

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