The price for a pound of weed is at its lowest ever.

The idea of weed being a "commodity" is hard to get used to. Talking about the wholesale price of pot is weird too. Back in the day, the price of a pound of pot wasn't exactly public information. In today's legal world, it's just part of doing business.

This month the price for a pound of legal marijuana hit an all-time low. It's capitalism and economics in action. Supply and demand drive prices up or down and the current overabundance of cannabis has sent wholesale prices into a free fall.

According to the US spot index, the national average for a wholesale pound of pot stands at $1,292. That's a 3.5% drop in just a week. A Denver-based independent pricing agency that tracks these kinds of things estimates the price based on supply and demand. Just like oil, gas, wheat, and gold, cannabis is now a commodity. If you think the $1,292 price is low, in Washington state the price dipped to $1,004 a pound. That's the lowest price since the markets began tracking such information three years ago.

The wildcard in this pricing game is the state of California. Their entry in the legalized adult-use cannibis market will surely have an impact on the price. Califorina is the largest economy in the US and the sixth largest in the world. Where wholesale prices go from here is anybody's guess. The fact is as more states approve the legal recreational sale, the price will continue to fall. We'll watch and see how low it goes.