Lumber Rallies as Storm Blocks British Columbia Roads and Rails

  • Chicago lumber futures rally to highest in more than 3 weeks
  • Major highways and railway tracks closed in Canadian province
A resident walks through the flooded Sumas Prairie in Abbotsford, British Columbia, Canada, on Nov. 17.Photographer: Taehoon Kim/Bloomberg
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Washed out roads and blocked rail tracks in Canada’s westernmost province are fueling a lumber price rally as key supplies risk being stuck just as home builders start piling up materials.

Lumber futures in Chicago jumped 6.3% to $757 per 1,000 board feet on Thursday, the highest since Oct. 25, after a once-in-a-century storm forced British Columbia to declare a state of emergency. The extreme deluge washed away and blocked parts of the province’s main highways, closed the tracks of Canada’s two major railways, flooded many areas and forced evacuations.