by Bill McBride on 5/20/2013
Just over a month ago I mentioned that lumber prices were nearing the housing bubble highs. Since then prices have declined sharply, with prices off about 20% from the recent highs.
Some of the decline could be related to additional supply coming on the market, and some due to less buying from China (several sources are reporting that China has pulled back significantly on buying North American lumber).
On additional supply, two months ago the WSJ had an article about some producers increasing supply:
Lumber prices are now 20% off the recent highs.