Falling Timber

Falling timber: Lumber futures continue to fall, with the lead month September contract posting new contract lows yesterday. Commodity funds continue to sell the market with few willing buyers stepping up to the selling onslaught. Traders are fearful that the continued interest rate hikes by the Federal Reserve will seriously affect the housing market, which would reduce new home sales and cut the demand for Lumber. There was some interest in bull spreading September/November Lumber by speculative accounts, as the historic seasonal tendency is for September to gain on the November contract. Read More....