Lumber Prices Crash 50% As Fed Tightens

Zubu Brothers ^ | 6-3-2022

[CopperTop]

"..Vacations? With gas increasing 5¢ a gallon every day?."

Nobody said they were going anywhere.. d;^)

[Pollard]

I bought this for $7.88/sht a few years ago

[logi_cal869]

“The president’s economic plan, as we see it, is working.”

WH PoS Karine Jean-Pierre, 6/1/2022

https://www.whitehouse.gov/briefing-room/press-briefings/2022/06/01/press-briefing-by-press-secretary-karine-jean-pierre-june-1-2022/

[TomGuy]

since the Federal Reserve embarked on its most aggressive interest rate tightening campaign in decades

Not buying that. FED rates has only moved up by 1/4, 1/4, 1/2. That isn't enough to even touch the 8+% official inflation rate (which is probably closer to 16%).

More likely, demand has dropped, causing prices to drop. Mortgage rates have about doubled in the last 6 months, from around 2.5% to 5%. That has several hundred $$dollars to the monthly payments.

[curious7]

Since their plan is to attempt to derail the US economy and put millions in a bread line, of course they claim it’s working. It’s just not working for the good of the Republic, though.

[lurk]

Just got a sheet of plywood. It’s 2x what it was 3 yrs ago.

[mabarker1]

Unicorn!!! Don’t forget the Unicorn 🦄

I just made a simple shelf to put a CPU, Modem and Router on. 1 pine 1 x 12 x 6 and 1 pine 1 x 3 x 6 cost $33 freaking bucks !!!!

[Organic Panic]

I use to buy “cheap” osb for crating metal parts. For years it was $5 plus or minus a dollar. It went from that to $68 a sheet seemingly overnight.

[logi_cal869]

Yup.

All according to plan.

[SaveFerris]

Yikes 😳

[Chode]

these price swings wreak havoc on builders and construction loans...

[FreedomPoster]

No-nothing out of touch affirmative action hire.

[Carriage Hill]

It’s going to get much worse; watch for the housing bubble to burst this Summer, as milled wood becomes all but unaffordable, and building comes to a near halt. A lot of related industries and cottage industries will be severely affected. Noah would be PO’d that his Ark isn’t getting completed. Heh.

[antceecee]

This is saying costs for lumber have gone down 51% due to FED raising rates. That means mortgages are higher cost and it will adversely affect the housing market. The insanely inflated real estate bubble is about to burst. I hear most brokers are expecting this to happen in last quarter of this year.

[BiglyCommentary]

Go look at a chart of lumber prices for the last 2 years. Wildly swinging up and down for a variety of reasons.

[antceecee]

Yes. I sell wood product for a Wisconsin company. Pricelist was withdrawn 2 yrs ago and they quote per daily costs.

[mabarker1]

And that’s not even painted/stained.

[mabarker1]

Yup

[mabarker1]

Well I guy that was My project for the decade...

[mabarker1]

guy=guess