Though new home sales declined slightly in April as had been expected, projections are that sales will otherwise increase over the course of the coming year, boding well in general for the hardwood industry. Appalachian hardwood markets remain steady from the last report. The Chinese demand remains consistent and strong, as do the markets in the UK, Ireland and other parts of Asia, particularly for white oak. Domestic demand for both green and kiln dried material continues to increase as well across the board.
Ash lumber prices are fluctuating up and down slightly, but a lot of lumber is still moving, especially #1 and #2 common material. China continues to have a strong appetite for ash. Cherry demand is still very good in all grades, especially in the upper grades where prices have once again continued to increase! Hard maple #1 and #2 common lumber demand is consistent with last week, moving better than uppers, and soft maple upper grade demand has leveled a bit, but May prices are above April averages. Red oak demand was slightly higher, particularly for kiln dried material (Weekly Hardwood Review)
General market comments/trends in the Appalachian Hardwoods region:
Black cherry: + 10.9% (since Jan 1st 2017)
Hard (sugar) maple: –1.2% (since Jan 1st 2017)
Red oak; +0.6% (since Jan 1st 2017)
White ash; +11.3% (since Jan 1st 2017)
Soft maple; -3.7% (since Jan 1st 2017)
Perspective and % Changes are measured using data from January 6, 2017 to May 26, 2017