Lumber Futures Tumble More Than 50% Since March

Lumber futures have declined more than 50% since March, USA Today reported.

Lumber, which was trading for as much as $1,357 per thousand board feet in March, was trading for under $600 per thousand board feet in early June, the Chicago Mercantile Exchange showed.

A combination of factors led to the drop, including rising interest rates and a steep decline in single-family home completions, starts and building permits in April, according to The Hustle. New home sales plummeted 16.6% in April. 

In April, 12% of lumber dealers reported low inventory, compared with 61% in April 2021. 

Lumber prices have been volatile since the pandemic. Prices peaked in 2021 at $1,733 per thousand board feet.