Residential flooring plants are seeing an uptick in business and truck trailer flooring plants continue to enjoy strong sales; companies in both sectors will buy more #2&3A Com red oak over the next two months. Similarly, improved business conditions will make moulding manufacturers a bit more aggressive in their red oak purchasing. Red and White Oak Hardwood Prices Remain Stable

However, demand from distribution yards and cabinet plants will show little, if any, improvement. Meanwhile, exports will be increasing to the Far East, Mexico and Middle East, all markets in which red oak is a favored species. In general, red oak prices will show additional firming during the first half of our 2-month forecast window followed by softening during the second half.

Recessions in Italy and Spain, and economic concerns elsewhere in the EU, will keep European purchases of white oak relatively low all the way through summer holidays. British markets for white oak will outperform those in mainland Europe, as the economy is healthier and buyers aren’t as pessimistic about the future.

Decent exports to Japan and secondary markets like Australia, New Zealand and Turkey will limit declines in upper-grade white oak prices despite European woes. Increased Chinese domestic demand for white oak should largely offset slower shipments to manufacturers throughout the Far East that make finished goods for Europe. Residential and truck trailer flooring plants will order a bit more #2&3A Com white oak.

Red and White Oak Hardwood Prices Remain Stable

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