Chicago lumber futures traded around $600 per thousand board feet, as concerns over supply disruptions due to wildfires in western Canada were not enough to offset falling demand. The Canadian province of British Columbia, where three of the six largest North American lumber producers are located declared a state of emergency for at least two weeks in effect since July 21st. British Columbia forestry titan Canfor Corporation became the first to announce it is curtailing production capacity as the fires disrupted transportations and supply chains. The price of lumber is more than 60% below an all-time high of almost $1,700 hit on May 7th, as demand from homebuilders and DIYers cooled down following the boom during Covid lockdowns while sawmills upped production levels.
Historically, Lumber reached an all time high of 1711.20 in May of 2021. Lumber - data, forecasts, historical chart - was last updated on August of 2021.
Lumber is expected to trade at 811.71 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 1139.19 in 12 months time.