Sky-High Lumber Prices to Drop by Year-End, Analyst Says

Capital Economics says wood prices will halve to about $600
Price decline will be supply driven even with strong demand

WATCH: Stinson Dean, Deacon Lumber Company CEO, explains why lumber prices are soaring.(Source: Bloomberg)

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By Bre Bradham

April 20, 2021 at 6:05 PM UTC

This article is for subscribers only.

Lumber’s record-setting price rally could cool off by the end of the year.

Canadian pine beetles, home-hungry Americans and supply hiccups have all converged to drive the price of lumber through the roof, but it should fall back to about half of it’s current sky-high level, according to a note from Capital Economics Ltd commodities analyst Samuel Burman.