Is the lumber price a climate price?

So I said on Twitter, the lumber price is a climate price. And the lumber price story is a climate story. If we had the beetle-killed trees still here, and our rail lines didn’t get washed out, sawmills would be able to treat this market just like they did in 2006. The price would never get over $500 because they have all the capacity they need.

Is lumber a commodity?

Lumber is a commodity. We typically have the pricing of the lumber impact our closings two quarters in the future, right, because when we order then build the house so the pricing we feel in the market, we feel in our income statement two or three quarters later. And that's true for most of our commodity pricing.

What will happen to Canadian lumber prices in November?

Tariffs on Canadian lumber will also likely double from 9% to about 18% by November, pending the Department of Commerce's final determination, he noted. Such an outcome will raise production costs on lumber shipments to the US market, which will ultimately put further upward pressure on lumber prices, Jalbert added.

What is the new lumber futures & options contract?

The new Lumber futures and options contract reflects changing production patterns, which makes it a more effective risk management tool for market participants. Lumber futures are physically delivered to the Chicago Switching District, allowing for a broader market participation from both western and eastern producing mills.