News

Lumber hits low on Chicago Mercantile Exchange

BY HBSDEALER Staff

After several quarters on the low side, lumber prices tanked even further this week to the lowest level in 17 years on the Chicago Mercantile Exchange. Lumber futures for November delivery dropped $10 — the upper limit of the exchange — to $186.50 per 1,000 board feet, the lowest since 1991.

According to Bloomberg News, output in Canada, the world’s top lumber exporter, had fallen 22 percent in the seven-month period ended July 31.

The news service quoted Curt Cunningham, the president of Pacific Futures Trading Co. in Seattle, as saying, “As we go into winter, which is the end of building season, and with the current financial and mortgage crisis, who’s going to want to own lumber? Most dealers are worried about what they thought was a 30-day supply of lumber turning into a 90-day supply.”

Lumber dealers have been steadily closing locations of late, and producers are feeling the pinch of long-term low lumber prices earlier this week. Louisiana-Pacific announced a third round of layoffs, with 28 people to be cut from the company’s work force. Late last month, Temiscaming, Quebec-based lumber producer Tembec announced it will curtail sawmill production at two British Columbia locations — Elko and Canal Flats.

Numerous lumber mills and dealers have decided to close, such as Beacon Lumber, a family-owned lumber and hardware dealer in New Bedford, Mass., which said last month it plans to close and auction off its lumber division.

keyboard_arrow_downCOMMENTS

Leave a Reply

No comments found

TRENDING STORIES

POLLS

How concerned are you that a trade war could hurt your business?
News

Madison, Wis., True Value store holds grand opening

BY HBSDEALER Staff

North Side True Value Hardware, located in Madison, Wis., held a two-day grand opening Oct. 4 and 5, after relocating from a 12,000-square-foot to a 14,000-square-foot space, store manager Jeff Jacoby said.

During the weekend celebration, the store raffled off a patio set, gas grill, patio heater and lawn mower, and sold bratwurst, hot dogs and soda for $1 each, donating the proceeds to the American Red Cross.

“It was one of the biggest weekends ever for us,” Jacoby said.

The new store focuses on core hardware categories like hardware, plumbing and lawn and garden, and owner Tom Meikle has also added the Benjamin Moore line of paint and an outdoor furniture department. Meikle also owns a store in Columbus, Wis.

keyboard_arrow_downCOMMENTS

Leave a Reply

No comments found

TRENDING STORIES

POLLS

How concerned are you that a trade war could hurt your business?
News

Lincoln Electric acquires Brazilian manufacturer

BY HBSDEALER Staff

Cleveland-based professional tools manufacturer Lincoln Electric has announced the acquisition of a 90 percent interest in Sao Paulo, Brazil-based Brastak.

The $30 million deal increases Lincoln Electric’s worldwide operations. Brastak produces brazing products, used in the welding and repair of pipes and plumbing.

“The Brastak acquisition represents the expansion of our brazing product line as well as our continued expansion into developing international markets,” said John M. Stropki, chairman and CEO of Lincoln Electric. He said the move primarily will help the company serve professionals in South America.

Lincoln Electric is one of the world’s largest manufacturers of arc welding products.

keyboard_arrow_downCOMMENTS

Leave a Reply

No comments found

TRENDING STORIES

POLLS

How concerned are you that a trade war could hurt your business?