All posts from 247WallSt.com
247WallSt.com in 247WallSt.com,

Marijuana Price Down 5% to $1,849

For the week ended Friday, September 25, the spot price index for a pound of cannabis dropped by $185 (9%) from $1,948 in the prior week to $1,849. Two weeks ago the price of a pound of cannabis reached a seasonal high of $2,133 per pound, and that is likely to remain the high for the year.

The futures price for December 2015 rose $75 to $1,500, and the October forward fell slightly to $1,825. For the month of November, the forward price drops to $1,650 a pound, unchanged from the prior week.

About two-thirds of the past week’s transactions occurred in a range of $1,566 to $2,528 per pound, according to the analysts at Cannabis Benchmarks. The volume-weighted average price in Colorado fell from $2,020 on September 18 to $1,997 a pound last week.

The volume-weighted average price in California last week was $1,580 per pound, down 12% from $1,779 in the previous week.

According to Cannabis Benchmarks, the volume-weighted average price of cannabis in Oregon rose 12% last week, from $1,682 to $1,889 a pound. In Washington prices rose 5%, from $1,758 a pound to $1,848.

In the futures market, Cannabis Benchmarks noted:

Despite a strong supply surge, rapidly increasing demand is pushing up prices in the latter months of the Forward Curve. This week’s forward deals suggest that the fall surplus will be exhausted faster than presumed just a few weeks ago. … Impending legal markets — particularly recreational ones in states such as Oregon and Alaska — are spiking interest and driving up demand. The continually inflated presence of cannabis on the national stage, new findings regarding its medical efficacy nearly weekly, and concerted marketing efforts by companies to tap multiple, new demographics that heretofore did not purchase cannabis products are working simultaneously to strain even robust supplies.

ALSO READ: 10 Cities Where You Don’t Want to Get Sick

Our price check at MJCharts.com indicates prices range from nearly $25 a gram to a low of $3 in the all-cities index. The overall average price for an ounce of marijuana (all strains) in Colorado is currently $10.99 per gram, ranging from a high of $20 a gram to a low of $5. In California the price is $15.13 per gram, ranging from $25 down to $3 per gram; in Michigan the average is $15.79 per gram in a range of $22 to $7.50; in Oregon the average is $9.94 per gram in a range of $16 to $5; and in Washington the average is $10.28 per gram, ranging from a high of $15 to a low of $6.

By Paul Ausick