The U.S. random length lumber futures market remains much stronger than usual. In this chart by Commodity Seasonality, the price year-to-date (green line) is currently 20% above its 20-year seasonal average (grey line):
As we pointed out earlier in the year, there are a number of factors supporting higher-than-average lumber prices including housing market fundamentals, a weaker US dollar, trade policies, and now forest fires.
Like this post? Have a problem with it? Have other ideas? Please leave a comment below.
TIMBERCHECK™ is a simple way to increase profitability, reduce risk, and build networks of trust in forest product markets. Become a TIMBERCHECK™ member by joining for free.