Quote:
Originally Posted by Beatle17
Lumber and Steel prices are down a lot since Oct 2021 so now may be the time to get early mill orders in. With a company that has the knowledge like CAA they can probably book mill runs quite easily.
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I typed a big long reply, but decided some of it might be privileged market info I don't really want to share.
But basically it comes down to Construction costs have not dropped as much as material, because there are still too many active projects.
Material costs are actually slightly on the up trend at the moment, because of a weaker relative Canadian dollar and mills being busy enough not to panic and race to the bottom with prices.
CAA certainly would not be the ones buying the material nor would their contractors be anywhere near ready to buy, you don't really send an order to the mill saying, "I'd like some steel please" you have to at least loosely define what product category so they know what line they are selling the capacity for, what grades so they know what input material they need to buy...