RFP - Lumber slumps to seven-month lows as housing market bears brunt of rate hikes

Lumber futures have fallen to levels not seen since November, in a stark reversal from all-time highs set last year during the COVID-fueled homebuilding boom. Chicago lumber futures (LB1:COM) for July delivery fell on Wednesday by the exchange maximum $49, or -7.5% to $604.50 per 1,000 board feet, extending this year's slump to 46% and nearly two-thirds below the peak of $1,733 per $1,000 board feet from about a year ago. ETFs: (NYSEARCA:XHB), (NASDAQ:WOOD), (CUT), (NAIL) Potentially relevant tickers include (WY), (WFG), (LPX), (PCH), (RFP), (OTCPK:CFPZF), (OTCPK:IFSPF), (OTCPK:WFSTF) "Lumber markets are probing for a floor," Kevin Mason, managing director of ERA Forest Products Research, told Bloomberg, citing plunging home sales and higher interest rates, adding lumber prices may fall to $400 per 1,000 board feet in the next two months before producers curb production to remove excess supply. Sales of newly built homes plunged 16.6% in April from March to

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Lumber slumps to seven-month lows as housing market bears brunt of rate hikes