Market Recap for 2/13
Random Lengths (R/L) is the lumber businesses guide for weekly pricing for many of the different species/grades/lengths produced and sold throughout North America. It does NOT include pre-cut pallet components, but the pricing of the traditional grades used to manufacture them tells the story (so to speak) in terms of where pre-cut component prices are going.
On 1/20 – R/L print prices were as follows:
- 2×4 – R/L util GDF – $145/FOB Portland
- 2×6 – R/L #3 GDF – $140/FOB Portland
By 2/3 – they had changed to:
- 2×4 – R/L util GDF – $145 (same)
- 2×6 – R/L #3 GDF – $145 (+$5/mbf)
Last week on 2/10 print was:
- 2×4 – R/L util GDF - $155 (+$10/mbf)
- 2×6 – R/L #3 GDF - $160 (+$15/mbf)
This past Friday on 2/17 print was:
- 2×4 – R/L util GDF – $170 (+$15/mbf)
- 2×6 – R/L #3 GDF – $175 (+$15/mbf)
In the last 4 weeks 2×4 is +$25/mbf and 2×6 #3 is +$30/mbf. If you’re not familiar with Random Lengths – they usually “lag the market” – meaning their prices usually are slower to adjust both up AND back down when the market is moving. I’d guess in reality they are $10/mbf behind the market on these items right now – especially producers (sawmills) who have a good 2 week + order file.
- The low point in terms of our cost fob/mill on util/btr GDF pre-cut components was $200/mbf. It is now $240 from 1 producer and another producer is off the market – unwilling to quote as they have a 3+ week order file and are struggling to get more wood for future orders.
- In SPF util/btr GMA kits – our low point was $255/mbf our cost, delivered to No. Cal. Today this same producer is at $300/mbf, is not “really looking for more orders” and doesn’t know where he’s going to get wood to produce more. Another producer moved pricing to $285 Friday. A 3rd producer had quoted me $273 mid last week – but I believe that price is no longer good.
- As I indicated last week in my “report” – I thought that even though the market was “up” – it was still a good time to buy to cover near term needs as I saw no reason for pricing to back off - rather a 90% chance to go up and a 10% chance to go down from that point.
- Talked with one of my mill sales reps from the largest producer in California and was told that she didn’t see any reason for the market to back off & again, I whole heartedly agree. Would I recommend “going long” and buying in excess of 45-60 day needs ? Wouldn’t go that far, but would suggest that you cover 30-45 days out EVEN AT THESE HIGHER LEVELS, because I feel that in 30 days prices will likely be higher than where we are at today. That’s my feel, but there is brisk sales at the mill level and secondary re-manufacturers are struggling to find good quality low grade to make pre-cut components and if you buy R/L material and process it yourself – am sure you are struggling to find good quality material, for prompt shipment (2 weeks or less) at prices that are affordable.
We have the following available – please call or email for pricing delivered to your location:
- 4 vans – 2×4-48″ util/btr GDF Notch
- 2 vans – 1×6-40″ util/btr GDF
- 2 trucks – 1×4-5′ util GHF (5/8″ thickness)
- 2 trucks – 1×4-6′ util GHF (5/8″ thickness)
- Multiple trucks of 1×4 – 5′/6′ economy GHF (5/8″ thickness)
- 2 trucks of 2×4-7′ #2 KDHF HT (great product for your 40″ deck board needs)
- 1 t/l – 2×4 – 8′/10′ util GDF
- 1 t/l – 2×6-8′/10′ #3 GDF
- 1 t/l – 2×4-12′/lgr util GDF
- 2-3 t/l – 1×6-6′ econ green redwood – CHEAP !
- We have access to different shim sizes too – let me know your specs and we’ll get you delvd pricing on them
- Please let me know about any block pallet needs you may have too - we can make your pre-cut components in Grn or dry – util/btr or Std/Btr grades.
If there are any other items you need, please let me know and we’ll go to work on getting you pricing on them.
Mark Berger / Direct: 702-208-7927 / Office: 209-847-6122
