Madison’s Reporter: Softwood Lumber Prices Rise Further

As the end of September approached the demand and sales of construction framing dimension softwood lumber commodities improved significantly, enough for prices to rise somewhat. This is an unusual time of year, after Labour Day, for solid wood building material prices to be rising. However, the current trend does echo the price movement of last year.

There was a brief pause the previous week as this price remained flat, then for the week of September 24, 2021 the price of Western S-P-F 2×4 #2&Btr KD (RL) rose to US$510 mfbm, a +$30, or +6%, increase from the previous week when it was $480. That week’s price was up by +633, or +14%, from one month ago when it was $447.

Overall supply of Western S-P-F dimension lumber decreased noticeably with each passing day thanks to consistent takeaway and the curtailed production schedules of many BC producers.

“Panel traders bemoaned another week of flat prices, while burgeoning demand exposed logistical problems for lumber and studs.” –  Madison’s Lumber Reporter

Solid demand for Western S-P-F lumber and studs in the US persisted this week. Sellers reported consistent inquiry and takeaway from key construction markets across the country. Sawmills were booked between two- to three-weeks out, with shipping delays scuttling any notion of prompt wood and adding up to a fortnight to established order files.

Both primary and secondary Western Spruce-Pine-Fir suppliers reported robust demand this week. Sawmill order files were two- to three-weeks out as any available prompt wood was gobbled up by ravenous customers.

“Strong demand for WSPF studs was evident again this week. Sawmills leaned in to double-digit price jumps. Buyers were busy inquiring and pursuing volumes as field inventories remained lean. Stud mill order files were two- to three-weeks out in most cases, with prompt offerings increasingly limited. ” –  Madison’s Lumber Reporter

Madison’s Benchmark Top-Six Softwood Lumber and Panel Prices: Monthly Averages

When compared to the same week last year, of $960, the price of Western S-P-F 2×4 for the week of September 24, 2021 was down by -$450, or -47%. Compared to two years’ ago when it was $376, that week’s price was up by +$134, or +36%.

About Madison’s Lumber Reporter

Established in 1952, Madison’s Lumber Prices is your premiere source for North American softwood lumber news, prices, industry insight, and industry contacts. The weekly Madison’s Lumber Reporter publishes current Canadian and US construction framing dimension lumber and panel wholesaler pricing information 50 weeks a year and access to historical pricing as well.

Contact:

Keta Kosman – Publisher, Madison’s Lumber Reporter – (604) 319-2266 –www.madisonsreport.com

Source: Madison’s Lumber Reporter