The U.S. Cannabis Spot Index decreased 2.1% to $983 per pound.
In grams, the Spot price was $2.17
The U.S. wholesale spot cannabis price fell $22 per pound this week on the back of net losses in New England and the Midwest. The New England net for the week was -$125 as Maine spot cratered $180 and Massachusetts fell $82. Connecticut prices eked out a $14 per pound gain, with price supported by the fact that a small number of licenses are currently operational in the new market. The Massachusetts / Rhode Island wholesale spot market spread widened out to $216 from $115 last week, reflecting continued efforts by businesses in the Bay State to off-load inventory. Vermont wholesale spot price jumped $102 this week with 25 stores currently open.
In the Midwest, Illinois wholesale spot price slipped $25 this week and is down 28.7% (over $1,000 per wholesale pound) since the beginning of December 2022. With competition from Michigan – and now Missouri as well – Illinois prices are set to go lower still. Michigan spot fell $5 this week, once again slipping below the $1,000 per pound handle.
Washington State spot prices have been in a slow downward slope since the May 2022 peak, losing 17.6% over the past 10 months. A failed rally from the mid-to-high $800s has resulted in a somewhat steeper decline – Washington spot is down $29 per pound this week – but the state’s limited license scheme has dampened price volatility. California spot gained $5 this week, but remains on a weak retracement of price from the all-time low made in January 2023. Colorado spot shed $9 this week, while Oregon spot price lost $24. Oregon officials put out their “2023 Recreational Marijuana Supply and Demand Legislative Report” this week, expressing some trepidation about the cannabis market in 2023. The analysis and links to the report can be found in the Premium report.
The “Sand States” netted just +$7 per pound this week, with Arizona spot price falling $14 and New Mexico spot shedding $17 per wholesale pound. Oklahoma spot price gained $25 this week, but is still trading below the $1,000 handle. Nevada spot price has been on a bit of a tear lately, jumping 12.8% since early January 2023. For a deeper perspective on Nevada cannabis pricing, see our exclusive interview with Trent Woloveck of Jushi in the Premium report.
March 2023 Implied Forward unchanged at $1,025 per pound.
At $1,025 per pound, the March 2023 Implied Forward represents a premium of 4.2% relative to the current U.S. Spot Price of $983 per pound.
Data Driven & Scalable – Exclusive Interview with Trent Woloveck of Jushi
State Supply & Demand Report Bearish on Prices
“The Surplus Issue Has Not Changed” – Interview
Adult Use Sales Slip to Open 2023 as Wholesale Price Dives