Canada’s housing agency says the country made “meaningful” supply gains last year thanks to record rental construction and more “missing middle” type housing, however short-term imbalances remain for several markets. Housing construction rose 6% year-over-year in 2025 to 259,000 units, with activity exceeding the 10-year average across most major markets, according to CMHC’s spring housing supply report. …Rentals drove overall new housing supply in Canada last year, with the number of rental units under construction nearly doubling the 10-year average. …The trend led to increased vacancy rates and slower rent price rises compared with recent years. The report also highlighted the growth of “missing middle” housing — a term referring to gentle-to-medium density types such as accessory suites, multiplexes, row homes, stacked townhouses and low-rise apartments, which have often been under-represented in new supply. …Despite some encouraging trends, particularly for the rental market, housing construction for the home ownership market weakened overall.
OTTAWA–Housing starts in Canada are set to decline over the next three years due to higher construction costs, weaker demand and elevated levels of unsold inventory, the country’s housing agency said Wednesday. The outlook from Canada Mortgage and Housing Corp. represents another setback for the country’s residential real-estate sector, where prices and sales have declined following a prolonged period of strength fueled by immigration. It’s also a sign that, unlike in the recent past, housing-market activity won’t help propel the Canadian economy into a higher gear. Canada’s economy is struggling with slow growth, with manufacturers under duress from hefty U.S. tariffs. Furthermore, firms are scaling back spending and hiring plans as the future of a North American trade treaty is in doubt. CMHC said in a report that it expects housing starts to drop during the 2026-to-2028 period. [
VANCOUVER, BC – Canfor Pulp Products announced that at the special meeting of the holders of common shares in the capital of the Company held earlier, the Shareholders voted in favour of approving the special resolution authorizing the previously announced arrangement whereby Canfor Corporation will acquire all of the issued and outstanding Common Shares that it and its affiliates do not already own by way of a statutory plan of arrangement. …The Arrangement was approved by 96.02% of the Shareholders and 84.42% of the Shareholders excluding any votes of the Purchaser and its affiliates and any other Shareholders whose votes were required to be excluded. …Assuming that all remaining approvals are obtained and all other remaining conditions precedent to the completion of the Arrangement are satisfied or waived, the Company anticipates that the Arrangement will be completed on or about March 17, 2026.
Statistics Canada says the economy capped off a volatile year with a contraction in the final quarter of 2025. The agency said that real gross domestic product declined 0.6% on an annualized basis in the fourth quarter, falling short of expectations from the Bank of Canada and most economists for flat growth. Real GDP per capita was unchanged in the fourth quarter. StatCan said the main reason for the contraction was businesses drawing down their inventories. The economy swung back and forth between gains and losses every quarter last year as sharp changes in exports tied to US tariffs drove volatility in GDP data. …The agency said real GDP rose 1.7% in 2025 overall, cooling from 2% growth in each of the previous two years and marking the slowest pace of annual growth since 2016 outside the COVID-19 pandemic. “Lower exports, particularly to the United States, were the main contributor to the slower rise in GDP in 2025”.
Lumber futures fell toward $550 per thousand board feet, marking a six-week low, as a stagnant North American housing sector failed to absorb heavy seasonal inventories. Demand weakened as January data showed a 7% year over year drop in single family starts and an 8.4% decline in units under construction. High 6.25% mortgage rates and a 5.8% slump in Canadian home sales during January 2026 further stalled new project starts. On the supply side, regional inventory remained bloated. While BC curtailments continued harsh winter storms in the US South halted jobsite activity more than mill output, creating a distributor logjam and forcing aggressive dealer discounting to clear yard space. Additionally, while Trump’s administration 45% softwood duties were meant to buoy prices they instead stifled demand by adding nearly $17,500 to average home costs. This eroded the builder confidence needed to clear current supply.
The strong momentum and bull run of basic materials carried over into 2026 and appears poised to be the TSX’s top-performing sector for the second consecutive year. While mining heavyweights continue to lead the surge, lumber stocks are delivering market-beating returns. Stella-Jones, Canfor Corporation, and Doman Building Materials are worth watching right now. These companies offer operational leverage and have maintained resilience amid persistent price volatility and trade restrictions.
A large B.C.-based mass timber company is receiving $5.5 million in federal funding to expand its production capacity, the government’s latest support for prefabrication as a means to boost housing supply. Castlegar-based Kalesnikoff Mass Timber Inc. is receiving the funding from Pacific Economic Development Canada’s Regional Tariff Response Initiative. The initiative is investing more than $13 million in 10 projects across B.C.’s southern Interior, helping businesses impacted by tariffs, said a March 2 press release. Kalesnikoff is receiving a repayable investment of $5.5 million to help purchase new equipment to make prefabricated housing components used in multi-family housing, schools, daycares and commercial buildings, said the release. Kalesnikoff’s new mass timber facility in Castlegar, which went into operation last year, is ramping up production, said Andrew Stiffman, the company’s vice-president of construction services.
WASHINGTON — The US economy, hobbled by last fall’s 43-day government shutdown, advanced at an unexpectedly sluggish 0.7% annual rate from October through December, the Commerce Department reported Friday in a big downgrade of its initial estimate. Growth in gross domestic product — the nation’s output of goods and services — was down sharply from 4.4% in last year’s third quarter and 3.8% in the second. And the fourth-quarter number was half the government’s first estimate of 1.4%; economists had expected the revision to go the other way — and show stronger growth. Federal government spending and investment, clobbered by the shutdown, plunged at a 16.7% rate, hacking 1.16 percentage points off fourth-quarter growth. For all of 2025, GDP grew 2.1%, solid but down from an initial estimate of 2.2% and from 2.8% in 2024 and 2.9% 2023.
US applications for unemployment benefits inched down modestly last week as layoffs remain at historically healthy levels despite a weakening job market. The number of Americans filing for jobless aid for the week ending March 7 fell by 1,000 to 213,000 the previous week, the Labor Department reported Thursday. Analysts surveyed by the data firm FactSet forecast 215,000 new benefit applications. Filings for unemployment benefits are viewed as a proxy for U.S. layoffs and are close to a real-time indicator of the health of the job market. While weekly layoffs have remained in a historically low range mostly between 200,000 and 250,000 for the past few years, a number of high-profile companies have announced job cuts recently, including Morgan Stanley,Block, UPSand Amazon in recent weeks. …For now, the U.S. job market appears stuck in what economists call a “low-hire, low-fire” state that has kept the unemployment rate historically low, but has left those out of work struggling to find a new job.
Unfortunately for retailers in the home sector, 2026 will likely look an awful lot like 2025. …While the pandemic offered a temporary financial boost, broad economic uncertainty caused many consumers to pull back on discretionary spending, leading to a decline in the high-ticket purchases. …The category has consistently seen year-over-year sales declines, according to the US Department of Commerce. …As was the case over the past few years, the weak housing market — driven by a lack of inventory and elevated interest rates — poses one of the biggest threats to the home sector this year. “The housing market is just stuck in neutral,” Zak Stambor said. “By and large, just few people are moving, and the lack of housing turnover means there’s a smaller-than-normal market for home goods.” “It’s the uncertainty that’s really driving the hesitation on the consumer side — where they should go, when they should buy, what they should buy in this market.”
NEW YORK — Stocks fell and oil prices traded above $100 per barrel Monday as investors grappled with a potential energy crisis caused by the war with Iran. …Stocks have been jolted by nerves about the Middle East conflict disrupting the global flow of oil and reigniting inflation at a time when the US labor market appears to be on shaky ground. Oil prices Monday surged to their highest level since mid-2022 when markets were rocked by Russia’s invasion of Ukraine. US crude oil surged 11%, to $101 per barrel. Brent crude, the international benchmark, was also up 11%, to $103 per barrel. …The war with Iran has effectively halted the flow of oil through the Strait of Hormuz, the narrow waterway off Iran’s coast through which 20% of global oil consumption flows. …Wall Street’s fear gauge, the VIX, jumped 5% and hit its highest level since April, when markets were rocked by uncertainty about tariffs. 
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WASHINGTON — American employers unexpectedly cut 92,000 jobs last month, a sign that the labor market remains under strain. The unemployment rate blipped up to 4.4%. The 
Mortgage rates continued to decline in February, dipping below 6% in the last week of February. According to Freddie Mac, the 30-year fixed-rate mortgage averaged 6.05% last month, 5 basis points (bps) lower than January. Meanwhile, the average 15-year rate declined only a basis point to 5.43%. Compared to a year ago, the 30-year and 15-year rates are lower by 79 bps and 60 bps, respectively. The 10-year Treasury yield, a key benchmark for long-term borrowing, held relatively steady for most of February with an average 4.18% – a marginal decrease of 2 bps from the previous month. However, yields fell significantly in the final week of February. …Following the recent escalation of conflict in the Middle East, the 10-year Treasury yield has shown signs of reversing course. Investors are closely monitoring how protracted the conflict may become and its potential implications for global energy markets. If oil prices rise significantly, inflation pressures could intensify, potentially pushing Treasury yields higher.
If enacted, the new legislation would aim to streamline tariff exclusions for goods used in home construction, help stabilize material pricing, and support efforts to expand housing supply nationwide U.S. Sens. Jacky Rosen (D‑NV) and Chris Coons (D‑DE) have introduced legislation aimed at easing construction costs and addressing America’s housing affordability crisis by excluding key homebuilding materials from tariffs imposed under the Trump administration. The Housing Tariff Exclusion Act would create a process to automatically exempt many building materials from current and future tariffs and allow importers to apply for exemptions on other essential construction inputs. The bill comes amid ongoing concerns that tariffs on imported materials such as lumber, steel, and other construction inputs have driven up costs for builders, contributing to higher home prices and exacerbating supply shortages. …The bill has garnered support from industry groups including the NAHB.
US equities tumbled on Tuesday, undoing a Monday equity comeback, as oil prices spiked again and traders began to worry the U.S.-Iran conflict could drag on longer than anticipated. The Dow Jones Industrial Average lost 1,238 points, or 2.5%. If that holds, it would mark the blue-chip index’s first 1,000-point decline since April 10, 2025. The S&P 500 slipped 2.2%, while the Nasdaq Composite was down 2.3%. Brent crude oil, the international benchmark, topped $84 a barrel, up 8% Tuesday following a 6% spike Monday. WTI crude jumped 8% to above $77 a barrel after a 6% jump as well on Monday. Iranian Revolutionary Guard commander said the Strait of Hormuz — the world’s most vital transit route for crude oil — is closed and that Iran would set ablaze ships attempting the route, Reuters reported, citing Iranian media.
Real estate professionals active in the Los Angeles market are bracing themselves for another wave of tariff-induced uncertainty following the US Supreme Court’s ruling. …Despite the Feb. 20 ruling, President Donald Trump has been adamant that he will find other avenues to impose his tariffs. Trump’s tariff policies have already caused upheaval for local businesses, and now the country’s heightened situation with tariffs will further disrupt L.A.’s real estate market, according to experts across development, manufacturing and finance. “This is a very shifting landscape for American companies,” said Ken Calligar, founder of RSG 3•D. …Garret Weyand, at Cedar Street Partners, said, “If costs are too high because of these tariffs, then projects don’t get built.” Banks will likely make borrowers increase the amount of equity so that the bank is covered in the event tariffs and inflation raise project costs.
Logging and forest trucking industry added an estimated $1.3 billion to the Northeast region in 2024, with Maine contributing $534 million of that amount, according to a study released this week. Maine’s figure included $283 million in total labor earnings and an estimated $23 million in state tax revenues. The Pine Tree State numbers represented 2,744 direct logging and trucking jobs, along with an additional 1,715 indirect jobs, for a total of about 4,460 jobs statewide. The Augusta-based Professional Logging Contractors of the Northeast released the results of its first-ever regional study on Wednesday, conducted by Wallace Economic Advisers LLC. It showed that in 2024, logging and forest trucking supported around 6,930 jobs in the region, generated $393 million in labor income, pumped an estimated $61 million into state and local tax coffers, and remained critical to a range of industries and communities.
Japan’s housing starts fell 0.4% yoy in January 2026, easing from a 1.3% drop in the previous month and beating market expectations of a 1.6% decline. It marked the third consecutive month of contraction, though the pace was the mildest since July 2024. Rental housing starts declined at a slower rate (-1.5% vs -3.4% in December). Meanwhile, owner-occupied homes rebounded (6.6% vs -1.8%), as did prefabricated housing (5.1% vs -6.1%). Starts for two-by-four homes also accelerated (8.7% vs 2.8%). In contrast, built-for-sale housing fell 4.8%, reversing a 1.9% increase in December.
Drax Group Plc’s profit declined last year but exceeded analyst estimates, helping lift the shares to their highest level in almost two decades despite significant impairment charges. Adjusted earnings before interest, taxes, depreciation and amortization totaled £947 million ($1.3 billion), beating analyst estimates for £913.7 million. Citigroup Inc. analyst Jenny Ping cited lower pellet costs and record generation at its main biomass plant as supporting the result. The figure was still 11% lower than a year earlier, which Drax attributed to weaker power prices. The company’s share price rose as much as 6.2% to the highest since October 2006 before paring gains. …Drax reaffirmed its target of £600 million to £700 million of annual adjusted EBITDA after 2027 and said it expects 2026 earnings to align with analyst forecasts of about £662 million. The company also expects to return £1 billion to shareholders through dividends and share buybacks from 2025 until 2031, with £2 billion invested in growth areas.