written by reader Lumber stocks and relation to COVID

By Darrell, April 17, 2021

Louisiana-Pacific Corporation (LPX) $66.71 has doubled since January and will see no change in this rise soon. This trend is across the whole industry. Another example, WFG $85.04 has tripled since June 2020. Just google “lumber spot price” to see what’s going on. Now $1,295 it has gone up 400% since a year ago. What happened was that most saw mills closed or drastically cut their work force due to COVID. This spring however, has seen a huge increase in sawmill jobs advertised on Indeed and Linkedin. I counted 58 mills on a big hiring spree in Oregon alone. My conclusion is that this rise in stocks like LPX will continue for a few months as supply catches up to demand.

This is a discussion topic or guest posting submitted by a Stock Gumshoe reader. The content has not been edited or reviewed by Stock Gumshoe, and any opinions expressed are those of the author alone.