Hardware Retailing The Industry's Source for Insights and Information
Do it Best recently completed the first-ever trade on the newly launched Southern Yellow Pine (SYP) Futures contract on the Chicago Mercantile Exchange (CME).
Do it Best collaborated early with the CME Group to develop the contract, leveraging its expertise in the market to provide greater price stability and predictability for SYP lumber products. The CME Group consulted Do it Best in the contract’s development to ensure it met the needs of industry buyers and sellers.
“We are proud to be an early adopter of this important tool for the lumber industry,” says Russ Kathrein, vice president of lumber & building materials at Do it Best. “Our early involvement underscores our belief that this contract will provide meaningful benefits to dealers, manufacturers and suppliers, offering a new tool to navigate market fluctuations with confidence.”
The industry is currently seeking pricing stability and improved risk management options due to the shrinking of the Spruce-Pine-Fir (SPF) lumber supply. Southern Yellow Pine is playing a crucial role in filling this supply gap.
“As an industry leader in the lumber futures market, Do it Best is committed to ensuring the success of this new contract,” Kathrein says. “By actively engaging in its development and taking the first trade, we are reinforcing our leadership and dedication to advancing the industry. This is a reflection of our commitment to the future of the lumber market and the long-term sustainability of our members’ businesses.”
