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by Calculated Threat on 11/02/2025 10:04:00 AM
Right here is one other replace on lumber costs.
SPECIAL NOTE: The CME group discontinued the Random Size Lumber Futures contract on Might 16, 2023. I switched to a physically-delivered Lumber Futures contract that was began in August 2022. Sadly, this impacts long run value comparisons because the new contract was priced about 24% greater than the outdated random size contract for the interval when each contracts had been accessible.
This graph reveals CME random size framing futures by way of August 2022 (blue), and the brand new physically-delivered Lumber Futures (LBR) contract beginning in August 2022 (Purple).
Click on on graph for bigger picture.
This graph reveals CME random size framing futures by way of August 2022 (blue), and the brand new physically-delivered Lumber Futures (LBR) contract beginning in August 2022 (Purple).
On October 31, 2025, LBR was at $539.50 per 1,000 board ft, down 3% from a yr in the past.
Click on on graph for bigger picture.
There may be considerably of a seasonal demand for lumber, and lumber costs incessantly peak within the first half of the yr.
The pickup in early 2018 was because of the Trump lumber tariffs in 2017. There have been large will increase in the course of the pandemic on account of a mixture of provide constraints and a pickup in housing begins.
Now, even with the tariffs, costs are down barely year-over-year suggesting weak demand.
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