Lumber Futures Nosedive Along With Home Building Stocks

Is the music over for housing construction and the housing bubble?

Lumber futures, a harbinger for housing, are down solidly on the year amid weaker demand.

https://confoundedinterestnet.files.wordpress.com/2018/09/timber.png?w=622&h=448

And US home building companies relative to the S&P 500 index has been falling since 2017.

https://confoundedinterestnet.files.wordpress.com/2018/09/homebldgsp.png?w=622&h=448

Or are home builders “riders on the storm”? Or is it “The End” of the housing bubble?

Source: Confounded Interest

 

Advertisements