{"id":80893,"date":"2021-06-21T05:57:31","date_gmt":"2021-06-21T05:57:31","guid":{"rendered":"https:\/\/tin.happy-projects.ro\/us-lumber-prices-falling-fast\/"},"modified":"2025-09-19T08:55:41","modified_gmt":"2025-09-19T08:55:41","slug":"us-lumber-prices-falling-fast","status":"publish","type":"post","link":"https:\/\/www.timberindustrynews.com\/ro\/us-lumber-prices-falling-fast\/","title":{"rendered":"US lumber prices are falling fast"},"content":{"rendered":"

US lumber prices are falling back to Earth. Prices have dropped from record highs, spurred by the economic reopening and potentially pointing to an eventual return to normalcy<\/em><\/p>\n

Futures for July delivery ended Tuesday at $1,009.90 per thousand board feet, down 41% from the record of $1,711.20 reached in early May. Futures have declined 14 of the past 16 trading days.<\/p>\n

\n

Cash lumber prices are also crashing. Pricing service Random Lengths said Friday that its framing composite index, which tracks on-the-spot sales, dropped $122 to $1,324, its biggest ever weekly decline. The pullback came just six weeks after the index rose $124 during the first week of May, its most on record. Random Lengths described a chaotic rout in which sawmill managers struggled to provide customers with price quotes. It said late Tuesday that its index had dropped another $114, to $1,210.<\/p>\n

Economists and investors have wondered if sky-high prices for wood products would doom\u00a0the booming housing market. Builders raised home prices and many stopped selling houses before the studs were installed, lest they misjudge costs and sell too cheaply. Lumber became central to\u00a0the inflation debate: whether a period of runaway inflation was afoot or high prices were temporary shocks that would ease as the economy moved further from lockdown.<\/p>\n

The rapid decline suggests a bubble that has burst and the question is how low lumber prices will fall. Even after tumbling, lumber futures remain nearly three times what is typical for this time of year. Lumber producers and traders expect that prices will remain relatively high due to the strong housing market, but that the supply bottlenecks and frenzied buying that characterized the economy\u2019s reopening and sent prices to multiples of the old all-time highs are winding down.<\/p>\n

During the run-up, wood was hoarded by builders, retailers and others worried about running out of material during a construction season set into overdrive by low mortgage rates and federal stimulus payments.<\/p>\n

\u201cEveryone was buying more than they needed,\u201d said Mike Wisnefski, a former lumber trader and chief executive of online marketplace MaterialsXchange. \u201cThere was this fear of lack of availability.\u201d<\/p>\n

Now the market is being flooded by what Mr. Wisnefski calls shadow inventory as businesses that are normally big buyers, such as home builders and companies that prefabricate the trusses that hold up roofs and floors, sell from their own stockpiles.<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"

US lumber prices are falling back to Earth. Prices have dropped from record highs, spurred by the economic reopening and potentially pointing to an eventual return to normalcy Futures for July delivery ended Tuesday at $1,009.90 per thousand board feet, … Continue reading →<\/span><\/a><\/p>","protected":false},"author":1,"featured_media":59390,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[4716,4715,4714],"tags":[3306,3286,3252],"class_list":["post-80893","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-latest-trends","category-market-analysis","category-wood-industry-prices","tag-lumber","tag-prices","tag-us","topic-forestry","topic-industry-prices","topic-sawmilling","topic-wood-construction","area-north-america"],"acf":[],"yoast_head":"\nUS lumber prices are falling fast - Timber Industry News<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.timberindustrynews.com\/ro\/us-lumber-prices-falling-fast\/\" \/>\n<meta property=\"og:locale\" content=\"ro_RO\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"US lumber prices are falling fast - Timber Industry News\" \/>\n<meta property=\"og:description\" content=\"US lumber prices are falling back to Earth. 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