Lumber Prices Saw Notable Surge, Despite Seasonal Downtime

SEATTLE (Scrap Monster): The softwood lumber prices continued to remain robust, even amidst sketchy inventories in the field, said Madison’s Lumber Reporter.

Normally, the stocking up of inventory by users coupled with seasonal closures and curtailments of sawmills are likely to impact softwood lumber prices during these times. However, most of the North American sawmills are operating at relatively high capacity levels, following recent resumption of production following Covid-19 shutdowns.

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According to the report, the prices of Western Spruce-Pine-Fir KD 2×4 #2&Btr saw significant rise during this week. The prices of standard wood building materials in the Western region too have spiked up. The demand for Western SPF continued to remain steady. The business is likely to fare better in the coming weeks as sawmill orders start flowing, it said. Meantime, the Canadian Western SPF producers reported no change in demand over the prior week.

During the week ending July 3^rd, 2020, the prices of Western S-P-F 2×4 #2&Btr KD rose by 7% from $436 mfbm during the previous week to $468 mfbm. Over the previous month, the prices have surged higher by more than 24%. When compared with the same week a year before, the prices were up by almost 17%.