For the week ended Friday, September 2, the spot price index for a pound of cannabis decreased 3.1% from $1,689 in the prior week to $1,637. According to the analysts at Cannabis Benchmarks, the simple average price for a gram rose from $4.28 to $4.38.
The futures price for the near month (October) slipped to $1,525 per pound. For the month of November, the forward price dipped to $1,500 a pound. The six-month forward price (March) remained at $1,750.
About two-thirds of the past week’s transactions occurred in a range of $1,427 to $2,546 per pound.
Looking at conditions in the futures market, the analysts had this say:
Of all reported transactions this week, more than a quarter were designated as forwards or long-term contracts, the highest proportion yet observed by our analysts and price reporters in the field. While there are a variety of reasons to enter into forward arrangements – for example securing supply or price, ensuring quality or specific genetics, hedging risk, etc. – this suggests the continuing maturation of the industry towards commercial scale practices deployed in other agricultural commodity markets. … This week’s distribution of forwards was 7% outdoor, 11% greenhouse and 82% indoor. The average forward deal was 18.9 pounds.
Implied forward prices are now expected to reach their six-month peak in March at $1,750 a pound. The six-month low is expected to be $1,500 in November.
Our price check at MJCharts indicates prices range from $27.19 a gram to a low of $3.00 in the all-cities index. The all-cities index price is $12.38 per gram, up a penny compared with the prior week. The overall average price for a gram of marijuana (all strains) in Colorado is currently $11.43 ranging from a high of $25.00 a gram to a low of $3.50. In California the price is $15.14 per gram, ranging from $27.19 down to $5.00 per gram, while in Michigan the average price is $14.03 per gram in a range of $25.00 to $3.00. In Oregon the average is $11.10 per gram in a range of $20.00 to $4.00, and in Washington the average is $10.60 per gram, ranging from a high of $21.00 to a low of $4.00.