XLB - Lumber futures rallying and testing three-month highs

After a huge reopening rally and a plunge back down to pre-pandemic levels, lumber is building upward momentum again. Lumber futures (LB1:COM) +3% are looking at another gain after rallying more than 6% in the past two sessions. They are up nearly 20% for October after notching a 30% gain in September than snapped a four-month losing streak. Futures are back above $700 per 1,000 board feet for the first time in more than three months. They had been up more than 5% earlier today, hitting resistance around $760, last topped on July 7. "A wood products rally that began around Labor Day is continuing," BMO Markets says. "The rally won't change Q3 price realizations, but should help Q4 results." ETFs: (NASDAQ:WOOD), (NYSEARCA:CUT), (NYSEARCA:NAIL) Materials (NYSEARCA:XLB) is at the top of the S&P sectors gainers list today, also benefiting from a rally in iron ore prices. Lumber prices (LB1:COM) peaked in May

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Lumber futures rallying and testing three-month highs