Industry News Markets
After multi-week rises, most softwood lumber prices flatten

Following the absolute plummet this summer after unsustainable highs in spring, lumber prices have been recovering during September and October, said weekly softwood lumber and panel price guide Madison’s Lumber Reporter. In the week ending October 29, most construction framing dimension lumber prices flattened out, to finish the week at close to the levels of one year ago.

Levelling off after several weeks of increases, in the week ending October 29, 2021, the price of WSPF 2×4 #2&Btr KD (RL) was US$630 mfbm, which is unchanged compared to the previous week when it was $630. That week’s price is up by +$21, or +3%, from one month ago when it was $609.

Western S-P-F sawmills in the United States kept asking prices flat for the most part.

“Demand was stable, but weaker than the previous week, as a confluence of factors caused buyers to step back from making purchases.” — Madison’s Lumber Reporter

Advertisement

Demand for Western S-P-F lumber and studs in the U.S. waned according to traders. Several key construction markets suffered their first real bout of inclement autumn weather. The earliest shipment available from producers was for November 15th, but transportation troubles added roughly two weeks to that timeline. Four-inch items were again the most sought after and the least available.

As October came to a close, Canadian Western S-P-F sawmills responded to steady demand with mostly even pricing. As order files extended into the last week of November, manufacturers restricted their production volumes due to high log costs. Construction activity in North America was better than usual for the time of year.

“Green Douglas-fir commodities experienced robust demand week according to suppliers. With green still the value species among the hem/fir complex, buyers convinced any of their charges willing to switch from dry to green to do so. Demand for low grades remained hot. Sawmills maintained order files between one and three weeks out, mill- and item-dependent.” — Madison’s Lumber Reporter

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

When compared to the same week last year, when it was $660, this week’s price is up by +$30, or +5%. Compared to two years’ ago when it was $396, this week’s price is up by +$234, or +37%.