Lumber futures continue to move higherSeptember contract is within spitting distance of $800 and March 2021 contract moved past $600.
Sounds like supply response will be much slower than many are expecting...
- Producers are not motivated to increase supply, they are generating more free cash flow than ever before and I'm sure being cautious about adding costs.
- BC forest fires, COVID and access to skilled labour, enviromental efforts will mute any potential logging activity.
...the perfect storm for higher lumber prices for a prolonged period of time.