WOOD - Lumber futures rally as 'unprecedented' challenges prompt production cuts

Lumber futures rose to their highest in a month as two top Canadian producers curtailed output and transportation snags disrupt shipments to customers, Bloomberg reports. March lumber futures (LB1:COM) rose by the exchange limit of US$45 on Wednesday to $1,336 per $1,000 board ft. in Chicago before trimming gains; futures already have jumped 34% this month due to tighter supplies ahead of peak building season. ETFs: WOOD, CUT, NAIL Canfor (OTCPK:CFPZF) said it plans to cut 150M board ft. of production in British Columbia, citing impacts of the mountain pine beetle infestation and other constraints on available timber. West Fraser Timber (NYSE:WFG) said its ability to ship products in a timely manner "remains challenged" after floods late last year washed away rail tracks and shut highways in B.C., forcing it to take "unscheduled downtime" due to the transportation constraints. "In Western Canada these transportation challenges are really unprecedented in both

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Lumber futures rally as 'unprecedented' challenges prompt production cuts