According to data released on Wednesday by United States Department of Agriculture’s Foreign Agricultural Service, the U.S. exported 659,071 metric tons of wood pellets in April, down from 801,396.9 metric tons of wood pellets in March but up year-over-year from the 635,463.4 metric tons exported in April of 2021.
Wood Markets News
Mortgage Applications Drop for the Sixth Consecutive Week in the Week Ending June 3, 2022
According to data from the Mortgage Bankers Association’s Weekly Mortgage Application Survey, for the week ending June 3, 2022, the Market Composite Index (a measure of mortgage loan application volume) declined -6.5% on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index declined -17.0% compared with the previous week.
Sanctions and Ports Closed to Russian Vessels Starting to Take Their Toll on Russian Lumber Markets
EU and other countries’ sanctions against Russia for the invasion of Ukraine, coupled with rising transportation tariffs and a stronger Russian Ruble, has led to a steady decline lumber exports and made the production of lumber in Russia’s Northwest a losing proposition. Exports to Europe, the main market for sawmills in the Northwest, will end on July 9.
Dixie Wildfire Burnt Timber to Help Rebuild Destroyed Communities
The scars of last summer’s Dixie Fire can be clearly seen for miles in burnt California hillside and forestland. However, there is hope. The burnt timber has value and the newly created sawmill in Crescent Mills, California, is working as quickly as possible to convert those burnt timbers into viable lumber products that can be used to rebuild the area.
Single-Family Residential Construction Slowed in the Suburbs in Q1 of 2022
According to the National Association of Home Builders’ Home Building Geography Index for Q1 of 2022, single-family residential home building slowed in the suburbs, with most other regional areas following suit. This decrease follows the aftermath of the pandemic and home buyers’ preferences to live in the suburbs easing.
Fannie Mae’s Home Purchase Sentiment Index® Lower Month-Over-Month & Year-Over-Year in May 2022
Fannie Mae today (6-7-22) released its Home Purchase Sentiment Index® (HPSI) for May. The HPSI declined in May by -0.3 points to a reading of 68.2. The index is now closer to its 10-year and pandemic-low of 63.0, recorded in April of 2020. Year-over-year (May 2021 – May 2022) the HPSI is down 11.8 points.
PotlatchDeltic Corporation Announces $131 Million Investment in Waldo, Arkansas, Sawmill
PotlatchDeltic Corporation announced today that is investing $131 million to expand and modernize its Waldo, Columbia County, Arkansas sawmill. With the updates scheduled to be completed in Q4 of 2024, the mills annual capacity will increase from 190 million board feet of dimensional lumber to approximately 275 million board feet.
Financial Incentives Offered to Encourage Southern Forestland Owners to Complete First Tree Thinning
University of Arkansas Forester Joe Friend said in a recent news release that forestland owners can get paid to complete their first tree thinning. The program is part of a U.S. Department of Agriculture Forest Service initiative to help prevent the spread of the southern pine beetles—the most damaging insect pest in the eastern U.S.
Buyers Regained Some Control Over the Housing Market in the Month of May
Redfin is reporting that the month of May marked a turning point in the pandemic housing craze, as buyers regained some control over the housing market. However, the increased sense of buyer control came with a great cost, as 5%+ mortgage rates and record-high prices have eliminated many buyers from the market.
U.S. National Interagency Fire Center Wildfire Update for June 6, 2022
On Monday, the U.S. National Interagency Fire Center reported that the 2022 wildfire season continues to gain momentum and is currently at a at a pace that is well in excess of both 2021 and its 10-year average. Currently, more than 4,100 wildland firefighters and support personnel are assigned to incidents across the country.