Lumber Falls to Nine-Month Low
2026-09-17 16:58
By
Larissa Caser
1 min. read
Lumber futures fell below $550 per thousand board feet, reaching their lowest level in nine months, as elevated borrowing costs continued to weigh on demand.
The US housing market remains tight, with mortgage rates near their highest level in over a year and showing no sign of easing after the Federal Reserve hiked its key policy rate, weighing on demand from prospective homebuyers.
Building permits also fell 2.7% over the month, although a 7.6% increase in lumber-intensive single-family housing starts in August.
Provided an offsetting pressure, US-Canada trade talks fell through, raising concerns over lumber supply.
Ottawa had announced counter-tariffs of 25% on US lumber and 50% on plywood following US tariffs on several lumber-related goods.
US forestry groups have long accused Canada of distorting the market, noting that 94% of Canadian forestland is publicly owned, compared with 58% privately owned in the US, allowing Canadian lumber to be sold at lower prices.