Forest2Market Monthly News

June Poll

Are surging lumber prices more a reflection of supply side or demand side dynamics?
Supply Side
Demand Side
Results From May's Poll

How has the economic slowdown caused by COVID-19 affected forest industry production in your region?

Are Skyrocketing Lumber Prices a Sign of Things to Come?

By Joe Clark
The solid wood sector was hit especially hard early in the pandemic due to slowed construction, primarily in states that deemed it to be non-essential. In April, primes sold better via the big box stores, but demand for construction-grade products was near anemic.

Structural Changes to Declining P&P Segments Will Accelerate Under Pandemic

By John Greene
Structural changes in markets are often caused by profound changes to the economy. Over the course of the last 20 years, the US economy has undergone some stark adjustment periods that resulted in such structural changes.

Where are Southern Timber Prices Headed?

By Mike Powell
Though the drivers were completely different, the Great Recession that began in 2007 is the closest example we have for reference based on the economic downturn we find ourselves navigating today.

Performance Benchmarks Drive Profitability When it Matters Most

By Pete Coutu
You might know the price at which you buy and sell timber, but how do you know whether that price is good or bad unless you know what the market is doing? Could you be making more? Paying less? In periods of extreme uncertainty, constant attention to the pulse of the market is imperative.

April Housing Starts Plunge 30%; Is the Bottom Within Sight?

By John Greene
After tumbling over 18 percent in March, US housing starts plummeted another 30 percent in April to the lowest level since early 2015. The percentage decrease was also the largest since the government began tracking the metric in 1959.

Australia: Demand for New Housing & Lumber Collapses

By Tim Woods
In March 2020, before the COVID-19 pandemic gripped the global economy, there were 15,386 new dwellings approved in Australia, a reduction of just 0.8 percent on February and 2.0 percent higher than in March 2019. It now seems certain that had the pandemic not impacted confidence in the latter part of the month, approvals would have been higher, heralding the much-anticipated housing sector recovery.

Toilet Paper Production & Its Impact on North American Forests

By Joanna Wilhelm
Toilet paper has stepped into the spotlight during the coronavirus pandemic. Either you have hordes of it, or you’re down to your final roll and can’t find a 4-pack in a 20-mile radius.

US Manufacturing, Forest Industry Slam on Brakes in April

By Joe Clark
Total industrial production (IP) fell 5.4 percent in March (-5.5 percent YoY), as the coronavirus pandemic led many factories to suspend operations late in the month. Manufacturing output fell 6.3 percent; most major industries posted decreases, with the largest decline registered by motor vehicles and parts.

April Labor Market Data Confirms Historic Job Losses, Challenges Ahead

By Forest2Market
The Bureau of Labor Statistics’ (BLS) establishment survey showed that non-farm payroll employment crashed by a worst-ever 20.5 million jobs in April (-21.25 million expected); the BLS subsequently revised its job-loss estimate to -20.537 million.