Bottom Falls Out of Lumber Prices With 40% June Plunge
Post date
July 02, 2021
Body
Yun Li, CNBC
The great lumber bubble of 2021 has popped.
After a jaw-dropping rally this spring, lumber prices have come back down to earth as supply increased, speculative trading action cooled and homebuilding demand eased. Lumber futures tanked more than 40% in June alone, suffering their worst month on record dating back to 1978.
The quick reversal of lumber’s months long rally came as Americans started to go on vacations again amid the economic reopening instead of taking on renovation and building projects.