Lumber Hits 17-month Low

Lumber increased to 602.00 USD/1000 board feet, the highest since February 2026. Over the past 4 weeks, Lumber gained 1.1%, and in the last 12 months, it decreased 9.51%.

Lumber futures fell toward $550 per thousand board feet, marking a two-month low as persistent imbalances in the North American housing market continue to erode commodity valuation. While January housing starts rose to 1.487 million units the growth in multi family projects failed to offset the 2.8% decline in single family construction which remains the primary driver of lumber consumption. High mortgage rates and elevated property prices have stalled new residential developments and left distributors with an oversupply of seasonal inventory. This supply glut has forced regional dealers to implement deep discounts to manage yard space during a period of unseasonably low jobsite activity. Furthermore the strengthening dollar has increased the cost of domestic production and limited export competitiveness for major mills. Still the escalating conflict in the Middle East and rising energy costs remain critical factors that could shift the inflationary outlook for construction materials.

Lumber decreased to 508.50 USD/1000 board feet, the lowest since September 2024. Over the past 4 weeks, Lumber lost 6.46%, and in the last 12 months, it decreased 13.91%.