The National Association of Home Builders reports that softwood lumber prices fell 10.3% in October—the largest drop since May 2011—according to the latest Producer Price Index (PPI) release by the Bureau of Labor Statistics. The producer price index for softwood lumber has fallen 21.2% since setting the cycle and all-time high in June (see below). Even after the decrease, however, the index currently sits just 4.7% lower than the prior-cycle high set in 2004.
The final demand price index for OSB has followed a path similar to that of softwood lumber over the last three months.
See more at the National Association of Home Builders Eye on Housing blog.