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Got Wood? A Housing Recovery Built On Faith

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With lumber prices limit-down again (and now over 28% from their March highs), we are left assuming that they are building houses with hopium, as opposed to wood, these days...

 

 

Of course this is not the first time we have mentioned the precipitous limit-down day-after-day collapse in Lumber prices (here) and why it is relevant (here) but the fact that we havs roundtripped to when QE3 was announced is perhaps notable in its own right (while homebuilders are up 50%)

 

The question now is - who will be the big bad wolf to blow these housing dreams down?

 

Charts: Bloomberg


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