SYP

All traders in Southern Yellow Pine have been anxiously waiting for prices to spike from the impact of Canadian lumber sharply increasing 2 weeks ago (from new tariffs); however, this did not happen. In fact, it is seemingly doing the opposite as SYP fell around $8 this week.

Almost all dimensions fell between $5 to $10 this week.

Here are some snapshots for all dimensions from the first week of July in SYP:

2x4s are now right back where they were

2x6s and 2x8s are around $15 a thousand bf higher now

2x10s and 2x12s are around $10 a thousand bf cheaper

With 2x10s and 2x12s never really taking on any increases this summer, they are now at very good deals compared to the rest of the dimensions. We would suggest buying these dimensions now.

With a week of decreases in SYP, to everyone’s surprise, mills will likely be very ready to move inventory quickly and sell at premium prices. We look forward to seeing what prices will show next week!

#3 material did take on a $5 increase. This is the first increase in low grade material in many months which could suggest that prices are now going to rise from the bottom where they have been all summer.

SPF

It seems that the new tariff on Canadian lumber only caused buyers to sit on the sidelines. Since the new increase, prices rose $30mbf the first week, $10 last week, and then fell $2 this week.

The tariff really came at an odd time for the lumber market as peak building season is upon us and many traders were expecting demand to remain steady with an increase, but that hasn’t seemed to be the case.

 We would suggest buying what you need in SPF when you need it and to not over or understock yourself during this time. Another month will lend to getting a much better pulse on the market to really get a picture for the rest of the year in SPF.

OSB

This is now nearly 3 weeks straight of reporting the same news in OSB prices. We are seeing pricing as it has been the past two month or more with OSB still holding at the bottom dollar pricing.