LUMBER The market firmed up to mill asking levels a week or so ago, which…
Top of the season to you!
Here is a summary of what happened in commodities last week.
Lumber……Random print was up again this week 2×4 posted a 30/m gain. 2×10 posted the biggest gains for the week up 60/m from last week. Mills reported a mixed week but given the time of year their sales pace remained positive.
Order files are late January or early February. Many items are still hard to find and when they are brought to market they disappear quickly like 2×6 104 5/8 studs for example.
Many yards are covered for January and into early February so it will be interesting to see if there is another round of buying after the Christmas break further extending order files and pushing prices higher.
Plywood……Order files are now Feb 14th week and pricing is up 10% from last week. Mills sold their allocations for the week and the promptly pulled off the market. This a cycle that is likely to continue into the new year as mills wish to continue strict order file control.
Mills don’t expect to be back on market until the first week of January due to the shortened week next week and some down time at mills over Christmas will make forecasting difficult. Watch for pricing to continue to climb as we head into the new year.
OSB……….Order files are late Jan early Feb. The market is starved for OSB, some mills in the US south have been down for a few weeks now and that has put a lot of pressure on Canadian mills to fill that void.
Couple that with the fact mills here are having a tough time shipping product leaves many yards scrambling for coverage. Print was up 35/m on 3/8 Basis but mills are able to sell at large premiums to that level.
Roads and rail lines are opening up but there is still a shortage of S/B’s in Western Canada, many loads are running 2-3 weeks late adding to everyone’s frustration.
Looks like 2022 will be out of the gate with a strong start, could we see another year like 2021? Sure feels that way.
May you have a safe and Happy holiday season.
Talk to you in the New Year.