Current Data

U.S. Cannabis Spot Index down 0.7% to $1,647 per pound.

The simple average (non-volume weighted) price decreased $11 to $1,859 per pound, with 68% of transactions (one standard deviation) in the $1,115 to $2,603 per pound range. The average reported deal size increased to 2.3 pounds. In grams, the Spot price was $3.63 and the simple average price was $4.10.

The relative frequencies of trades for each grow type were essentially unchanged from last week.

The relative volume of outdoor flower expanded by almost 3% this week. The relative volumes of indoor and greenhouse product contracted by about 1% and 2%, respectively.

With the close of October, much of the country’s legal outdoor crop has been harvested, but early reports out of Oregon state that it has not yet hit the market for the most part. It will likely be several weeks before significant portions of this year’s crop are dried, trimmed, tested, packaged, and sent to retailers. While the overall state of the harvest in West Coast states and Colorado is still unclear, some initial reports from market participants in Oregon indicate that some outdoor crops that were exposed to smoke and ash from the wildfires earlier this year are finishing favorably. Some are worried more about disruptions to power and water caused by the wildfires, and how that impacted the ability to care for growing plants, more so than smoke damage. 

In the meantime, the upward momentum of the U.S. Spot Index accelerated in October relative to September. While the national composite price last year rose to its annual peak in mid-November 2019, this year the last two weeks have seen consecutive downturns in the U.S. Spot.

Strong sales are continuing, however, with the holidays approaching as well. Adult-use markets in Massachusetts and Illinois both saw new monthly sales records set in October. It remains to be seen how – or if – the worsening COVID-19 pandemic will impact demand during the upcoming holiday season. Prior to this year, Thanksgiving and the end-of-year holidays had become a period when retailers run promotions and specials to drive sales, including dubbing the day after Thanksgiving “Green Friday,” to accompany “Black Friday” deals run by traditional retailers.