RidiculousI don't get this so maybe someone can enlighten me. Lumber prices at all time highs with
no change in the supply demand metrics in the foreseeable horizon yet WEF sells off in
spite of this. Cal, Oregon And Washington state are on fire, meaning the demand for
lumber is not going to suddenly disappear. Covid is not going away anytime soon so
that demand thesis is still in play. WEF should be hitting the $1.50's on this backdrop
but counterintuitively sells off. This makes no sense to me but markets often trade out
of whack until they suddenly don't at which point they start to reflect the reality that they
should have in the first place. What accounts for this odd mispricing? My only take is
investors have a great deal of difficulty in accepting a "new normal" after being down
and out for so long a period of time and so are still on sell mode when they should be
full buy mode.