CANNABIS BENCHMARKS WEEKLY REPORT — November 16, 2018

CANNABIS BENCHMARKS WEEKLY REPORT — PUBLISHED NOVEMBER 16, 2018

 U.S. Cannabis Spot Index up 2.7% to $1,076 per pound.

 

The simple average (non-volume weighted) price increased by $16 to $1,262 per pound, with 68% of transactions (one standard deviation) in the $485 to $2,040 per pound range. The average deal size increased 3.8% to 4.2 pounds. In grams, the Spot price was $2.37, and the simple average price was $2.78.

 

National Transaction Stats continued to display steadiness this week. Just like last week, the relative volume of each grow type traded was stable compared to the week prior. The relative frequency of transactions for indoor-grown flower decreased slightly week-over-week, by 1%, with deals for greenhouse product seeing a rise of the same proportion in this metric. The relative frequency of trades for outdoor flower was flat compared to last week.

The U.S. Spot Index rose by 2.7% this week to settle at $1,076 per pound, breaking a streak of three consecutive weeks of declines. The national volume-weighted prices for all three grow types were on the upswing this week, as were the Spot Indices of three of the four major Western markets, with Washington State the only exception. Wholesale prices may have been pushed upward by increased demand ahead of the Thanksgiving holiday, as the subsequent weekend has become one where retailers expect increased sales. Last year at this time, though, the U.S. Spot fell to its annual low of $1,368 per pound in the week ending November 17, 2017. However, it would rise the following week, to $1,392 per pound. Data from prior years suggests that this year’s annual low may already be behind us, but very different market landscapes in 2018 mean that unprecedented price movements remain well within the realm of possibility.

Average deal sizes were up across the board this week, although the growth in the mean volume of transactions involving outdoor flower slowed compared to observations from recent weeks. Retailers and medical dispensaries may be looking to bring in inventory ahead of next week’s Thanksgiving holiday, when most will offer discounts and promotions in an attempt to drive increased sales. Average deal sizes were also on the upswing for the most part at this time last year, with the only exception being that for greenhouse product.     

December 2018 Forward unchanged at $1,050 per pound.

 

The average reported forward deal was unchanged at 56 pounds. The proportion of forward deals for outdoor, greenhouse, and indoor-grown flower were also unchanged, representing 56%, 29%, and 15% of forward arrangements, respectively. The average forward deal size for monthly delivery for outdoor, greenhouse, and indoor-grown flower was 69 pounds, 38 pounds, and 41 pounds, respectively.

 

At $1,050 per pound, the December Forward represents a discount of 2.4% relative to the current U.S. Spot Price of $1,076 per pound. The premium or discount for each Forward price, relative to the U.S. Spot Index, is illustrated in the table below.

Sample headlines from this week’s Premium Report:

  • California

    State Spot Index Rises to Highest Level Observed Since the Opening Week of October

  • Colorado

    Retail Sales Decline in September, with Combined Adult-Use and Medical Revenues Down Slightly Compared to those Recorded in September 2017

  • Oregon

    State Composite Price Rises for Sixth Straight Week, Now Almost 14% Above Recent Historic Low Established at the Beginning of October

  • Washington

    State Spot Index Again Sinks to New Historic Low for Any Market, Approaching $550 Per Pound

  • Michigan

  • Restraining Order Against State Regulators Extended, Allowing Applicants for Medical Cannabis Business Licenses to Continue Operating Under Temporary Authorization While Awaiting Judicial Decision
  •  
  • Illinois

  • Retail Sales Reach Record Heights in October, While Wholesale Revenues and State Spot Index See Modest Increases
  •  

 Watch our CEO, Jonathan Rubin, in his latest appearance on BNN Bloomberg discussing the price declines experienced in competitive U.S. markets and the likely parallels forthcoming in Canada.

Cannabis Benchmarks®, a division of New Leaf Data Services, LLC

3 August 2018.  Copyright © 2018 New Leaf Data Services, LLC.  All rights reserved

CANNABIS BENCHMARKS WEEKLY REPORT — November 9, 2018

CANNABIS BENCHMARKS WEEKLY REPORT — PUBLISHED NOVEMBER 9, 2018

VISIT US AT THE MJ BIZ CONFERENCE BOOTH #3979!

U.S. Cannabis Spot Index down 1.2% to $1,047 per pound.

 

The simple average (non-volume weighted) price decreased by $24 to $1,246 per pound, with 68% of transactions (one standard deviation) in the $483 to $2,010 per pound range. The average deal size increased 2.8% to 4 pounds. In grams, the Spot price was $2.31, and the simple average price was $2.75.

 

National Transaction Stats were quite stable week-over-week. The relative frequency of trades for indoor flower declined by 1%, with the resulting increase accruing to transactions involving greenhouse product. Each grow type’s share of the total reported weight moved nationwide was virtually unchanged compared to last week. Last year at this time, the relative volumes of warehouse, greenhouse, and outdoor-grown flower were documented to settle at 44%, 31%, and 25%, respectively.

The U.S. Spot Index declined by 1.2% this week to settle at $1,047 per pound. This week’s national composite price represents another historic low, the third consecutive week in which that milestone has been established. Nearly every state market covered by our reporting – with the exceptions of Nevada, Maine, Massachusetts, and Vermont – saw week-over-week decreases in their Spot Indices, while Oregon’s was flat.

 

Transaction States continued to be fairly stable, both on the national level and in the major Western markets. This observation – along with the significantly smaller deal sizes documented this year relative to last – suggests that persistent oversupply situations and low prices have dampened demand from wholesale buyers, who in prior years have been eager to stock up on cheap product in the wake of the autumn harvest.

The national volume-weighted price for flower to be sold in adult-use markets dropped by almost 2% this week. Nevada was the only state with a functional adult-use system to see an uptick in its Spot rate this week, and of less than 1% at that. Declines in the medical-only markets of Arizona, Illinois, and Michigan, among numerous others, weighed down the national rate for product designated for registered patients.  

December 2018 Forward unchanged at $1,050 per pound.

 

The average reported forward deal increased to 56 pounds from 52 pounds last week. The proportion of forward deals for outdoor, greenhouse, and indoor-grown flower represented 54%, 30%, and 16% of forward arrangements, respectively. The average forward deal size for monthly delivery for outdoor, greenhouse, and indoor-grown flower was 69 pounds, 38 pounds, and 41 pounds, respectively.

 

At $1,050 per pound, the December Forward represents a premium of 0.2% relative to the current U.S. Spot Price of $1,047 per pound. The premium or discount for each Forward price, relative to the U.S. Spot Index, is illustrated in the table below.

Sample headlines from this week’s Premium Report:

  • California

    Issuance of First Annual Licenses Means Those Businesses Will be Required to Use METRC Tracking, But Wholesale Price Disruption Not Expected Immediately

  • Colorado

    Composite Price Again Falls to New Historic Low on Declining Prices for Greenhouse Flower, Increased Relative Volume of Outdoor Product

  • Oregon

    Despite Recent Upward Trend, Quarter-to-Date Average of State’s Spot Index Down Over 15% Compared to Q3’s Mean Composite Price

  • Washington

    Tax Collection Data Suggests Decrease in Demand Contributing to Record Low Wholesale Prices

  • Michigan

  • Commencement of Regulated Medical Market Still Uncertain as Voters Approve Adult-Use Legalization Measure
  •  
  • New Mexico

  • Judge Strikes Down State’s Plant-Count Restrictions on Licensed Businesses, Calls for New Rules to be Formulated that Could Increase Supply
  • New Governor-Elect Has Expressed Support for Legal Cannabis, a Departure from the Views of Current Governor
  •  

 Watch our CEO, Jonathan Rubin, in his latest appearance on BNN Bloomberg discussing the price declines experienced in competitive U.S. markets and the likely parallels forthcoming in Canada.

VISIT US AT THE MJ BIZ CONFERENCE BOOTH #3979!

Cannabis Benchmarks®, a division of New Leaf Data Services, LLC

3 August 2018.  Copyright © 2018 New Leaf Data Services, LLC.  All rights reserved

CANNABIS BENCHMARKS WEEKLY REPORT — November 2, 2018

CANNABIS BENCHMARKS WEEKLY REPORT — PUBLISHED NOVEMBER 2, 2018

U.S. Cannabis Spot Index down 0.9% to $1,060 per pound.

 

The simple average (non-volume weighted) price decreased by $15 to $1,270 per pound, with 68% of transactions (one standard deviation) in the $500 to $2,040 per pound range. The average deal size increased nominally to nearly 4 pounds. In grams, the Spot price was $2.34, and the simple average price was $2.80.

 

The relative frequency of trades for each individual grow type was virtually unchanged from last week’s data. Outdoor flower’s share of the total reported weight moved nationwide in state-legal markets increased by almost 2% this week to make such product account for a third of the volume observed. The relative volume of indoor flower decreased by the same proportion, while that for greenhouse product was flat compared to last week.

The U.S. Spot Index declined by 0.9% this week to settle at $1,060 per pound, in the process establishing a historic low for the national composite rate for the second week in a row. Still, the U.S. Spot exhibited greater stability over the course of October this year than it did in the same period last year. In 2017, the national volume-weighted average declined by 5.6% from the first to the final week of October, from $1,455 to $1,373 per pound. This year, the U.S. Spot decreased by only 0.7% from the opening to the closing week of last month. Upward pressure on the national average during the prime harvest season month came from a price recovery in Oregon. Additionally, wholesale rates in California remain elevated compared to the other major Western markets, as businesses are working to adjust to new, still-changing regulations, as well as gain local and state licenses.

The national volume-weighted price for flower to be sold in adult-use markets was flat this week, as upticks in the recreational sector in California, as well as in the Spot Indices of Oregon and Nevada, counterbalanced declines in Colorado and Washington. Declines in the medical-only markets of Arizona and Illinois, among others, weighed down the national rate for product designated for registered patients, despite the medical sector of California’s market seeing a small week-over-week increase in its composite wholesale price.  

May 2019 Forward assessed at $1,025 per pound.

 

The average reported forward deal decreased to 52 pounds. The proportion of forward deals for outdoor, greenhouse, and indoor-grown flower represented 55%, 30%, and 15% of forward arrangements, respectively. The average forward deal size for monthly delivery for outdoor, greenhouse, and indoor-grown flower was 65 pounds, 38 pounds, and 36 pounds, respectively.

 

At $1,050 per pound, the December Forward represents a discount of 0.9% relative to the current U.S. Spot Price of $1,060 per pound. The premium or discount for each Forward price, relative to the U.S. Spot Index, is illustrated in the table below.

 

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Sample headlines from this week’s Premium Report:

  • California

    Prices for Outdoor Flower Experience Relative Stability in October as the Fall Harvest is Brought In

  • Colorado

    Spot Index Continues Recent Gradual Descent, Falling to New Historic Low for the State

  • Oregon

    Price Recovery Persists as Spot Index Rises for Fourth Consecutive Week, Despite Volume-Weighted Rates for Outdoor Product Dropping to Unprecedented Depths

  • Washington

    State Spot Index Again Sinks to All-Time Low for Any Market

  • Michigan

    Judge’s Ruling Gives Businesses Without State License Approval Temporary Reprieve from October 31st Shutdown Deadline

 Watch our CEO, Jonathan Rubin, in his latest appearance on BNN Bloomberg discussing the price declines experienced in competitive U.S. markets and the likely parallels forthcoming in Canada.

Cannabis Benchmarks®, a division of New Leaf Data Services, LLC

3 August 2018.  Copyright © 2018 New Leaf Data Services, LLC.  All rights reserved

CANNABIS BENCHMARKS WEEKLY REPORT — October 26, 2018

CANNABIS BENCHMARKS WEEKLY REPORT — PUBLISHED October 26, 2018

U.S. Cannabis Spot Index down 1.3% to $1,069 per pound, reaching historic low for the Index.

 

The simple average (non-volume weighted) price decreased by nearly $4 to $1,286 per pound, with 68% of transactions (one standard deviation) in the $499 to $2,072 per pound range. The average deal size increased 3.8% to 3.9 pounds, from 3.8 pounds. In grams, the Spot price was $2.36, and the simple average price was $2.83.      

The U.S. Spot Index decreased 1.3% this week, settling at $1,069 per pound. The October average of $1,076 is a 1.6% decrease from the September average of $1,093 per pound.. The overall decrease in the national volume-weighted price was due to declines of flower prices in California, Colorado, and Washington. Reports from our analysts indicate that many outdoor cultivators are actively harvesting, drying, and curing this seasons crop. As more outdoor product comes to market the saturation of supply will potentially drive a decline in price as has been experienced in previous November time frames.

 

Last year, the U.S. Spot Index was observed to rise 5% between the last week in October and the second week of November, when fresh outdoor product is at a premium, before falling to its annual low of $1,368 per pound in the third week of November.

The downward momentum of the U.S. Spot’s trend line advanced this week due to the 1.3%, or $15, drop observed for the weekly national composite price. The Trailing 4-Week Average of California’s Spot Index continued its decline due to yet another historic low rate of the state composite index. The trend line of Colorado’s composite price also experienced a decline to an historic low, pushing the Trailing 4-Week Average for the state down. The Trailing 4-Week Average of Nevada’s Spot rebounded slightly this week, albeit by a small margin, after three straight weeks of falling composite prices in the state.

November Forward closes unchanged at $1,000 per pound.

 

The average reported forward deal decreased to 53 pounds. The proportion of forward deals for outdoor, greenhouse, and indoor-grown flower represented 53%, 32%, and 15% of forward arrangements, respectively. The average forward deal size for monthly delivery for outdoor, greenhouse, and indoor-grown flower was 68 pounds, 37 pounds, and 35 pounds, respectively.

 

At $1,000 per pound, the November Forward represents a discount of 6.5% relative to the current U.S. Spot Price of $1,069 per pound. The premium or discount for each Forward price, relative to the U.S. Spot Index, is illustrated in the table below.

 

 

Visit Our Blog To Find Out The Latest On Canadian Wholesale Markets

 

Sample headlines from this week’s Premium Report:

  • U.S.

    Detailed Q3 Review & Analysis including Spot Price Observations Histogram, Quarterly Averages, and  Volume Discount Curve

  • State-by-State Q3 Review & Analysis

  • Colorado

    Marijuana Enforcement Division Completes Final Draft of New Regulations

  • Michigan

    Pre-Licensed and Unlicensed Dispensaries Ordered to Close By October 31

  •  

 Watch our CEO, Jonathan Rubin, in his latest appearance on BNN Bloomberg discussing the price declines experienced in competitive U.S. markets and the likely parallels forthcoming in Canada.

Cannabis Benchmarks®, a division of New Leaf Data Services, LLC

3 August 2018.  Copyright © 2018 New Leaf Data Services, LLC.  All rights reserved

CANNABIS BENCHMARKS WEEKLY REPORT — October 19, 2018

CANNABIS BENCHMARKS WEEKLY REPORT — PUBLISHED October 19, 2018

U.S. Cannabis Spot Index up 1% to $1,084 per pound.

 

The simple average (non-volume weighted) price increased by $21 to $1,289 per pound, with 68% of transactions (one standard deviation) in the $489 to $2,089 per pound range. The average deal size increased 1.6% to 3.8 pounds, from 3.7 pounds. In grams, the Spot price was $2.39, and the simple average price was $2.84.

The relative frequency of trades for both indoor and greenhouse flower increased slightly this week, by a bit more than 1% and less than 1%, respectively, resulting in a corresponding decrease in this metric for transactions involving greenhouse product. Outdoor-grown flower’s share of the total reported weight moved increased again this week, by less than 2%. The entirety of the corresponding contraction was taken from the relative volume of warehouse product, while that for greenhouse flower was flat week-over-week.       

The downward momentum of the U.S. Spot’s trend line continued this week, but slowed noticeably due to the uptick observed for the weekly national composite price. The same applies to the Trailing 4-Week Average of California’s Spot Index, which persisted in its decline due to last week’s historic low rate. The trend line of Colorado’s composite price reversed course this week, declining by $3 after last week’s $1 rise, but remained the most stable of the trend lines depicted in the chart below. After being on the rise since mid-August, the Trailing 4-Week Average of Nevada’s Spot began to show downward momentum this week, after two straight weeks of falling composite prices in the state.   

The national volume-weighted price for flower to be sold in adult-use markets rose slightly this week, as upticks in the recreational sector in California, as well as Oregon’s Spot Index, overrode modest downturns in Colorado, Washington State, and Nevada. Rises in the medical markets of California and Arizona were primarily responsible for the marginal bump in the national rate for product to be sold to registered patients, as many of the smaller medical markets saw declines in their Spot Indices this week.     

November Forward unchanged at $1,000 per pound.

 

The average reported forward deal decreased to 57 pounds. The proportion of forward deals for outdoor, greenhouse, and indoor-grown flower represented 51%, 34%, and 15% of forward arrangements, respectively. The average forward deal size for monthly delivery for outdoor, greenhouse, and indoor-grown flower was 74 pounds, 38 pounds, and 36 pounds, respectively.

 

At $1,000 per pound, the November Forward represents a discount of 7.7% relative to the current U.S. Spot Price of $1,084 per pound. The premium or discount for each Forward price, relative to the U.S. Spot Index, is illustrated in the table below.

 

 Sample headlines from this week’s Premium Report:

  • California

    State Spot Index is Declining Overall This Harvest Season, But by a Smaller Magnitude Than Last Year

  • Colorado

    Retail Demand Reaches New Record High in August, But Contemporaneous Wholesale Prices Still Trended Downward

  • Oregon

    Composite Price Rises for Second Week in a Row, as Volume-Weighted Rate for Outdoor Flower Falls to Historic Low for That Grow Type in Any Market

  • Washington

    State Spot Index Sinks to Historic Low for Any Market This Week, Settling Below $600 Per Pound

  • Massachusetts

  • Two Testing Labs Receive Final Approval for Adult-Use Licenses
  •  
  • Arizona

  • September Sales Volume to Patients Subsides Slightly After Reaching Record Levels in August, While State Spot Index Continued to Rise on Generally Robust Demand

NEW VIDEO! 

Watch our CEO, Jonathan Rubin, in his latest appearance on BNN Bloomberg discussing the price declines experienced in competitive U.S. markets and the likely parallels forthcoming in Canada.

Cannabis Benchmarks®, a division of New Leaf Data Services, LLC

3 August 2018.  Copyright © 2018 New Leaf Data Services, LLC.  All rights reserved

CANNABIS BENCHMARKS WEEKLY REPORT — October 12, 2018

CANNABIS BENCHMARKS WEEKLY REPORT — PUBLISHED October 12, 2018

U.S. Cannabis Spot Index down 0.3% to $1,073 per pound.

 

The simple average (non-volume weighted) price increased by $13 to $1,268 per pound, with 68% of transactions (one standard deviation) in the $483 to $2,054 per pound range. The average deal size declined 12% to 3.7 pounds, from 4.2 pounds. In grams, the Spot price was $2.37, and the simple average price was $2.80.

The relative frequency of trades for each grow type was very steady compared to last week. The only shift discernible in the chart below is a marginal decline in that metric for deals involving greenhouse flower. In a signal that the fall harvest is beginning to come to market, outdoor product’s share of the total documented weight moved swelled by almost 5% compared to last week. The relative volumes of indoor and greenhouse flower declined by about 3% and 1%, respectively, week-over-week.      

Washington State’s Spot Index experienced a significant downturn this week, falling to $606 per pound, a historic low for that market and just $5 above the all-time low for any market, documented last week in Oregon. California’s Spot this week also represents a historic low for the Golden State, at $1,053 per pound. Washington, D.C.’s Spot Index ascended to a year-to-date high this week, of $2,853 per pound.

The national volume-weighted price for flower to be sold in adult-use markets jumped by almost 4% this week, due almost entirely to an uptick in that sector of California’s market, while Oregon’s Spot also saw a slight increase. Falling prices for medical flower in California, as well as a decline in Arizona’s Spot Index, were primarily responsible for pulling down the national volume-weighted rate for product designated for sale to patients.    

November Forward unchanged at $1,000 per pound.

 

The average reported forward deal increased to 58 pounds. The proportion of forward deals for outdoor, greenhouse, and indoor-grown flower represented 50%, 35%, and 15% of forward arrangements, respectively. The average forward deal size for monthly delivery for outdoor, greenhouse, and indoor-grown flower was 79 pounds, 37 pounds, and 38 pounds, respectively.

 

At $1,000 per pound, the November Forward represents a discount of 6.8% relative to the current U.S. Spot Price of $1,073 per pound. The premium or discount for each Forward price, relative to the U.S. Spot Index, is illustrated in the table below.

 

 Sample headlines from this week’s Premium Report:

  • California

    Relative Volume of Outdoor Flower Increases to Constitute Half of Reported Weight Moved, Pulling Spot Index to New Historic Low for the State

  • Colorado

    Volume-Weighted Price for Indoor Product Falls to All-Time Low for Colorado, Approaching $900 Per Pound
  •  
  • Oregon

    Wholesale Rates Tick Upward Marginally and Momentarily, Even as “Many” Outdoor Farmers Reported to be Selling Product at a Loss

  • Washington

    Spot Index Slides to Historic Low for the State as Trading of Outdoor Flower Increases with the Fall Harvest

  • Nevada

  • Sales in the Adult-Use Sector Top $40 Million for the Third Consecutive Month in July, But Production Appears to be Keeping Pace with Demand as State Spot Sank in that Month

 Watch our CEO, Jonathan Rubin, in his latest appearance on TD Ameritrade – Morning Trade Live discussing the global cannabis commodity markets and their impact on pot stocks and valuations.

Cannabis Benchmarks®, a division of New Leaf Data Services, LLC

3 August 2018.  Copyright © 2018 New Leaf Data Services, LLC.  All rights reserved

CANNABIS BENCHMARKS WEEKLY REPORT — October 5, 2018

CANNABIS BENCHMARKS WEEKLY REPORT — PUBLISHED October 5, 2018

U.S. Cannabis Spot Index up 0.2% to $1,077 per pound.

 

The simple average (non-volume weighted) price decreased by $7 to $1,255 per pound, with 68% of transactions (one standard deviation) in the $457 to $2,053 per pound range. The average deal size declined 2.6% to 4.2 pounds. In grams, the Spot price was $2.37, and the simple average price was $2.77.

The relative frequency of trades for indoor and outdoor flower both increased this week, by 1% each, resulting in a 2% decline in this metric for deals involving greenhouse product. Both warehouse and greenhouse flower saw their shares of the total reported weight moved nationwide shrink slightly this week, by about 1% each. Correspondingly, the relative volume of outdoor-grown product increased by 2% week-over-week, perhaps signalling the beginning of the fall harvest coming to market.    

The average composite transaction volume contracted again this week, due nearly entirely to a sharp decrease in the mean size of trades for warehouse flower. Meanwhile, the average size of deals for greenhouse product saw its decline slow compared to last week, while that for outdoor flower was on the rise. After four consecutive weeks of declines, the volume-weighted price for indoor product ticked upward this week, and was primarily responsible for boosting the national average, with assistance from marginal increases in the going rates of the other grow types.

The national volume-weighted price for flower to be sold in adult-use markets decreased again this week, as downturns in Colorado, Oregon, and Washington State overwhelmed increases in Nevada, Alaska, and California’s recreational sector. Increases in the Spot Indices of medical-only markets such as Arizona, Michigan, Illinois, and New Mexico lifted the national average for product designated for registered patients.  

April 2019 Forward initially assessed at $1,025 per pound.

 

The average reported forward deal was nominally unchanged at 57 pounds. The proportion of forward deals for outdoor, greenhouse, and indoor-grown flower represented 48%, 36%, and 16% of forward arrangements, respectively. The average forward deal size for monthly delivery for outdoor, greenhouse, and indoor-grown flower was 79 pounds, 37 pounds, and 38 pounds, respectively.

 

At $1,000 per pound, the November Forward represents a discount of 7.1% relative to the current U.S. Spot Price of $1,077 per pound. The premium or discount for each Forward price, relative to the U.S. Spot Index, is illustrated in the table below.

 

 Sample headlines from this week’s Premium Report:

  • California

    Spot Index Slips to Record Low for the State, Falling Below $1,100 Per Pound on Increased Relative Volume of Lower-Priced Outdoor Flower

  • Colorado

  • MED Data Shows Flower Production Outpaced Sales Volume by Over 50% in H1 2018
  • Volume-Weighted Price for Indoor-Grown Product Drops to Historic Low for the State
  •  
  • Oregon

    New All-Time Low Spot Rate for Any Market Established in Oregon for the Third Consecutive Week, As Reported Transaction Stats Indicate Fall Harvest Has Yet to Reach Market

  • Washington

    Volume-Weighted Price for Greenhouse Flower Again Falls to Record Low for the Grow Type in Any Market, Pulling Down Composite Price to a Historic Trough for the State

  • Michigan

  • State Regulators Move Up Deadline for Businesses to Get Licensed or Shut Down, With Existing Product Required to be Liquidated or Destroyed Within 30 Days of Licensure

 Watch our CEO, Jonathan Rubin, in his latest appearance on TD Ameritrade – Morning Trade Live discussing the global cannabis commodity markets and their impact on pot stocks and valuations.

Cannabis Benchmarks®, a division of New Leaf Data Services, LLC

3 August 2018.  Copyright © 2018 New Leaf Data Services, LLC.  All rights reserved

CANNABIS BENCHMARKS WEEKLY REPORT — September 28, 2018

CANNABIS BENCHMARKS WEEKLY REPORT — PUBLISHED September 28, 2018

U.S. Cannabis Spot Index down 1.7% to $1,074 per pound.

 

The simple average (non-volume weighted) price decreased by $27 to $1,262 per pound, with 68% of transactions (one standard deviation) in the $479 to $2,046 per pound range. The average deal size declined less than 1% to 4.3 pounds. In grams, the Spot price was $2.37, and the simple average price was $2.78.


National transaction stats continued this week to display the stability that has characterized them through the current quarter. The relative frequency of trades for indoor flower shrank week-over-week, by 1%, with deals for greenhouse product seeing a corresponding gain in this metric. Each grow type’s share of the total reported weight moved was virtually identical to last week. The total volume traded nationwide that was documented by Cannabis Benchmarks price reporters increased by 4.7% week-over-week.  

The U.S. Spot Index declined to establish a historic low for the third consecutive week. The current national composite price is off by nearly 30% compared to that observed at the same time a year ago, which was $1,541 per pound.

The downward momentum of the U.S. Spot’s trend line accelerated this week, as it declined by $11 after the prior four weeks saw drop offs of between $1 and $5. The modest upward movement of the Trailing 4-Week Averages of California and Colorado’s composite prices observed last week continued this week, with the trend lines of those states’ Spot Indices climbing by $1 each. Meanwhile, the rate of decline of the Trailing 4-Week Averages of Oregon’s and Washington State’s Spot rates increased this week. The recent positive momentum of the trend line of Nevada’s composite price was tempered noticeably this week, as the state’s weekly Spot Index saw its first week-over-week downturn since the final week of July.   

October Forward assessed down $25 to close at $1,025 per pound.

 

The average reported forward deal decreased 4 pounds to 57 pounds. The proportion of forward deals for outdoor, greenhouse, and indoor-grown flower represented 46%, 37%, and 17% of forward arrangements, respectively. The average forward deal size for monthly delivery for outdoor, greenhouse, and indoor-grown flower was 80 pounds, 37 pounds, and 38 pounds, respectively.

 

At $1,025 per pound, the October Forward represents a discount of 4.6% relative to the current U.S. Spot Price of $1,074 per pound. The premium or discount for each Forward price, relative to the U.S. Spot Index, is illustrated in the table below.

 

 Sample headlines from this week’s Premium Report:

  • California

    Volume-Weighted Price for Indoor Flower Down by 5.4% in September, As Rates for Greenhouse and Outdoor Flower Trend Upward Ahead of Fall Harvest

  • Colorado

    State Spot Index Down 5% Compared to Opening Week of Q3, But Rate of Decline Has Slowed in Recent Weeks

  • Oregon

    State Spot Index Again Drops to Historic Low for Any Market, Approaching $600 Per Pound

  • Washington

    Falling Prices for Greenhouse Flower Primarily Responsible for Pulling Down State Composite Price in September

  • Nevada

  • State Spot Index Sees First Week-Over-Week Decline Since the End of July

 

Watch our CEO, Jonathan Rubin, in his latest appearance on TD Ameritrade – Morning Trade Live discussing the global cannabis commodity markets and their impact on pot stocks and valuations.

Cannabis Benchmarks®, a division of New Leaf Data Services, LLC

3 August 2018.  Copyright © 2018 New Leaf Data Services, LLC.  All rights reserved

CANNABIS BENCHMARKS WEEKLY REPORT — September 21, 2018

CANNABIS BENCHMARKS WEEKLY REPORT — PUBLISHED September 21, 2018

U.S. Cannabis Spot Index down 0.4% to $1,093 per pound.

 

The simple average (non-volume weighted) price increased by $1 to $1,289 per pound, with 68% of transactions (one standard deviation) in the $497 to $2,080 per pound range. The average deal size declined 2% to 4.4 pounds. In grams, the Spot price was $2.41, and the simple average price was $2.84.

 

The relative frequency of trades for both indoor and outdoor product increased slightly, by less than 1% each week-over-week, with greenhouse flower seeing a decline of a bit more than 1% in this metric. Greenhouse product’s share of the total reported weight moved nationally also contracted, by about 2%, with the entirety of the corresponding increase accruing to the relative volume of outdoor flower. The relative volume of warehouse product was stable week-over-week.

The U.S. Spot Index declined by 0.4% this week to settle at $1,093 per pound, establishing a new historic low for the national composite price for the second consecutive week. Unlike last week, the overall decline was driven entirely by a downturn in the national volume-weighted rate for indoor product.

 

Viewing U.S. pricing from the state level, notable decreases in the Spot Indices of Oregon and Washington State were primarily responsible for the marginal drop in the national composite price, overwhelming increases wholesale rates reported in Nevada, Arizona, and Michigan, while the supply side markets of California and Colorado exhibited general stability in pricing relative to last week.

 

The national volume-weighted price for flower to be sold in adult-use markets ticked upward slightly this week, on the back of rises in California, Colorado, and Nevada. Despite wholesale prices demonstrating upward momentum in the sizeable medical markets of Arizona and Michigan, the national rate for flower to be sold to patients declined this week.

October Forward assessed down $50 at $1,050 per pound.

 

The average reported forward deal increased 1 pound to 61 pounds. The proportion of forward deals for outdoor, greenhouse, and indoor-grown flower represented 46%, 38%, and 16% of forward arrangements, respectively. The average forward deal size for monthly delivery for outdoor, greenhouse, and indoor-grown flower was 87 pounds, 40 pounds, and 38 pounds, respectively.

 

At $1,050 per pound, the October Forward represents a discount of 3.9% relative to the current U.S. Spot Price of $1,093 per pound. The premium or discount for each Forward price, relative to the U.S. Spot Index, is illustrated in the table below.

 

 Sample headlines from this week’s Premium Report:

  • California

    Ahead of Fall Harvest, Relative Volumes of Outdoor Product Being Traded in California Recently Already Up Significantly Compared to the Same Time Last Year

  • Colorado

    July Saw Record-Setting Retail Demand in Colorado’s Legal Cannabis Market, Yet Wholesale Prices Slid to Record Lows in that Month

  • Oregon

    State Spot Index Sinks to Lowest Ever Recorded in Any Market, as Does Volume-Weighted Price for Outdoor-Grown Flower, Even with This Year’s Fall Harvest Yet to Reach Market

  • Washington

    Forecasts Suggest Generally Favorable Conditions for This Year’s Autumn Crop

  • Michigan

  • Nearly 100 Medical Cannabis Businesses Receive Reprieve from Requirement to Shut Down this Week, Will Be Allowed to Operate Until December 15th
  •  
  • Arizona
  • Sales Volume to Patients Reaches Record Levels in August, As Strong Demand Appears to be Pushing Up State Spot Index During Current Quarter

Cannabis Benchmarks®, a division of New Leaf Data Services, LLC

3 August 2018.  Copyright © 2018 New Leaf Data Services, LLC.  All rights reserved

CANNABIS BENCHMARKS WEEKLY REPORT — September 14, 2018

CANNABIS BENCHMARKS WEEKLY REPORT — PUBLISHED September 14, 2018

U.S. Cannabis Spot Index down 1.0% to $1,097 per pound.

 

The simple average (non-volume weighted) price increased by more than $2 to $1,288 per pound, with 68% of transactions (one standard deviation) in the $505 to $2,070 per pound range. The average deal size was nominally unchanged at 4.5 pounds. In grams, the Spot price was $2.42, and the simple average price was $2.84.

 

The relative frequency of trades for greenhouse product increased by over 1% week-over-week, with the corresponding decline split fairly evenly between transactions for the other two grow types. However, greenhouse flower’s share of the total reported weight moved nationwide decreased compared to last week, by 2%. The relative volume of indoor product saw a contraction of the same proportion, while that for outdoor flower was flat.    

The U.S. Spot Index declined by 1% this week to settle at $1,097 per pound. In the process, it established a new historic low for the second consecutive week. Sliding prices in September, just ahead of the fall harvest, are a break from trends observed nationally and in the West Coast markets in the past, which have frequently seen rates trend upward ahead of the autumn crop being brought to market. Early-finishing varieties should be cut down in the coming days and weeks, representing the beginning of the harvest season and inflating the relative volumes of the sun-fueled grow types, if the observations of prior years are any indication. The fact that the U.S. Spot has already been trending downward through August and the first half of September, driven in recent weeks by falling prices for warehouse product, could portend a harvest-season price slide of even larger proportions than documented in years past.

The national volume-weighted prices for flower to be sold to registered patients and general consumers both decreased this week, but by magnitudes smaller than that of the U.S. Spot. The decline in the national adult-use rate was due largely to sliding prices in Colorado and Washington State, which outweighed upticks in Nevada and California. Arizona’s was the only medical market to see a notable rise in its Spot price, which was overwhelmed by downturns in California, Massachusetts, Illinois, and Maine.

October Forward unchanged at $1,100 per pound.

 

The average reported forward deal decreased 1 pound to 60 pounds. The proportion of forward deals for outdoor, greenhouse, and indoor-grown flower represented 44%, 39%, and 17% of forward arrangements, respectively. The average forward deal size for monthly delivery for outdoor, greenhouse, and indoor-grown flower was 84 pounds, 41 pounds, and 40 pounds, respectively.

 

At $1,100 per pound, the October Forward represents a premium of 0.3% relative to the current U.S. Spot Price of $1,097 per pound. The premium or discount for each Forward price, relative to the U.S. Spot Index, is illustrated in the table below.

 

 Sample headlines from this week’s Premium Report:

  • California

    Volume-Weighted Price for Indoor Flower Falls to New Historic Low for California’s Market, Settling Below $1,350 Per Pound

  • Colorado

    Regulators and Industry Discussed Removal of Vertical Integration Requirement for Medical Businesses at Rulemaking Hearing This Week

  • Oregon

    Greenhouse and Outdoor Product See Volume-Weighted Prices Slide to Historic Lows, But State Spot Index Up Marginally on Increased Relative Volume of Indoor Flower

  • Washington

    State Spot Index Drops by 4%, Breaking Five-Week Run of Consecutive Increases

  • Alaska

  • Wholesale Trading Volumes Continue to Expand in 2018: Tax Collections from Cultivators in July Up by Almost 240% Compared to the Same Month Last Year
  •  
  • Illinois
  • Medical Cannabis Market Sees Record Retail and Wholesale Revenues in August as Demand Continues to Grow

Cannabis Benchmarks®, a division of New Leaf Data Services, LLC

3 August 2018.  Copyright © 2018 New Leaf Data Services, LLC.  All rights reserved