Lumber stabilized below $550 per thousand in May, as investors weighed demand and supply prospects. While hopes for upcoming rate cuts by the Fed and signs of slowing US inflation supported the demand outlook for wood products, the commodity faced pressure from the latest housing data. Housing starts, a crucial gauge of future lumber needs, in one of major consumers, the US, rose less than anticipated. It also fell in Canada. On the other hand, keeping the floor under prices, supply uncertainties increased from halts of activities at sawmills in British Columbia. The leading lumber producer Canfor announced the permanent closure of its Polar sawmill located in Bear Lake, BC, and the suspension of planned reinvestment initiatives in Houston, BC due to a shortage of economically viable timber and difficult operational conditions.
Lumber decreased 44.95 USD/1000 board feet or 7.85% since the beginning of 2024, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Historically, Lumber reached an all time high of 1711.20 in May of 2021. Lumber - data, forecasts, historical chart - was last updated on May 16 of 2024.
Lumber decreased 44.95 USD/1000 board feet or 7.85% since the beginning of 2024, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Lumber is expected to trade at 544.39 USD/1000 board feet by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 579.95 in 12 months time.