Lumber prices dropping

Mill that I work at cut back on amount of hours worked every day and
said no more Sunday's. Not sure if prices are dropping or they finally realized they were burning their workers out(3 have quit in last two weeks).

Workers are a resource. They probably realized their return on their workers falling and made corresponding decisions. Inflation is going to really cause some destabilizing that we haven't seen since the 70s

I have actually heard from a couple different people that it was to level and then drop....
but my one source doesnt have internet or electricity.

Had to pick up two 3/4 inch plywood sheets for work today. 211 bucks and change

Two local lumber yards had 7/16" OSB for $74.00 a sheet and construction grade 2"x6'-12' was $26.00 and the building is nuts around here. I just don't get it....

There are lots of fools with money.

Sounds great to me. Lumber price dropping. Hopefully it is true.

Loggers sure are busy around me. Looks like everybody with timber wants it cut.

People will be crying if they build now and try to sell down the road, very poor investment to be building right now.

Unfortunately the stand lumber prices have not gone up along with the inflated in store lumber prices.

This^^^
Folks think that timber prices have increased but they have not.

I agree but maybe we're not looking at things the same way other's have been. I mean the average house in my area has been about $150K-$200K. Now it's not uncommon to see $500K on up with several well over a million. Some one's going to get burned, just not me!

Some people have the money to pay for lumber. So the higher price may not have a big effect like you think. People don't seem to be traveling overseas for kicks like they used to, therefore they have money to burn on lumber. Just my 2 cents. I guess the big thing is that the lumber is good quality, not twisted garbage from Lowe's.

Softwood framing lumber is not dropping in my area, even the local Amish Mills are now raising their prices.

Lumber futures are up a bit today but the curve going out to January 2022 is dropping.
July futures are currently $1190 but January futures are 848. Still quite high

Not seeing any drop here

Why drop the price if people continue buying

Don't confuse retail purchasers with speculators in the futures market.

We are getting screwed on this deal......

Is someone forcing you to buy lumber ?

It takes awhile for it to get worked thru the market before the price to come down at the lumber yard.

It is possible in thin markets, when it get at or close to first notice day it may not even trade but drop limit down or rise limit up, even in markets that is not too thin. A few days of limit against a trader and he remembers it well.
I think the non-reportable amount for lumber is 25 contracts or less, not sure thou.
Here is some links that some minght find interest in.

On the second link for commitment of traders the link didn't follow thru and where it says corn you need to click and click on softs to get lumber. Sorry bout that.

https://hedgefundlawblog.com/cftc-regulation-15-03-reporting-levels.html

https://www.cmegroup.com/tools-information/quikstrike/commitment-of-traders-agricultural.html

https://www.barchart.com/futures/quotes/LSN21/interactive-chart

White what were they b4??

The prices we were used to seeing for a long time were in the $300 range

Thank u sir

Well I'm a residential construction and remodeling contractor so...

Prices going up shouldn't affect a contractor, if the price is going up charge the customer more. If you locked in a bid then you should have hedged the other leg and you would still have your profit locked in.

Not always that simple. Raising your prices substantially can cause customers to put projects on hold or go elsewhere.

And you can pass it on to the consumer. People are building and buying. Some choose to continue. Some hold back. It is all up to you. My brother held off on building his home. Our company continues to build. And the circle continues