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Southern Yellow Pine Lumber Prices More Volatile in April

April 27, 2018
Author: John Greene

After returning briefly to a two-month low point in early April, southern yellow pine (SYP) lumber prices surged to the $480/mbf mark during the latter half of the month. As we enter the peak of the building season, demand is likely to remain steady at least through 2Q2018. Rising lumber prices have already increased the average price of a single-family home by nearly $6,400 since January of 2017 according to National Association of Home Builders (NAHB).

High lumber prices are not unique among construction supplies; materials and equipment prices increased at a quicker pace in April and the index posted a gain of 6.3 points. Prices were up in all 12 categories. Notably, the prices for all three steel categories (fabricated structural steel, carbon steel pipe, and alloy steel pipe) jumped in April, signifying the impact of the recently-announced tariffs.

IHSMarkit_April18Source: IHS Markit

The composite southern yellow pine lumber price for week 16 was at $480/mbf, which is up from week 15’s price of $473/mbf. Week 16’s price is also 18 percent above its January 2018 starting point of $408/mbf, and 9 percent above the 2017 week 16 price of $425/mbf.

A closer look at some of the prices we have seen since the beginning of the year:

  • January Average Price: $427/mbf
  • February Average Price: $453/mbf
  • March Average Price: $478/mbf
  • 1Q2018 Average Price: $449/mbf
  • YTD Average Price: $452/mbf



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