Lumber Holds Near Nine-Month Low

2026-09-24 16:42 By Larissa Caser 1 min. read

Lumber futures fell to around $535 per thousand board feet, remaining near their lowest level in nine months, as rising borrowing costs weigh on housing demand.

Growing concerns over inflationary pressures have fueled a broader selloff in global government debt markets, pushing yields to their highest level in nearly two decades.

As a result, mortgage rates climbed above 7%, a level last seen in January 2025, further weighing on prospective homebuyers.

Although lacking any particular economic significance, economists refer to the threshold as a psychological ceiling.

Meanwhile, lumber-intensive single-family housing starts increased 7.6% in August.

Providing an offsetting pressure, 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, as Canadian forestland is largely publicly owned, allowing its lumber to be sold at lower prices.



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