Lumber futures rose toward $680 per thousand board feet, approaching a two-and-a-half-year high of $685 seen on March 24th, driven largely by the looming threat of additional tariffs. Proposed increases could raise Canadian lumber duties from around 15% to nearly 40%, a critical factor given that Canada supplies roughly 25% of U.S. lumber—even as some production has migrated to the U.S. South. Meanwhile, year-over-year, the housing market reveals modest contractions, with housing starts declining by 3% compared to the previous year and new home sales exhibiting similar softness, even as existing home sales show relative stabilization. This backdrop of enduring supply constraints—exacerbated by transportation delays and inventory hoarding—combined with the persistent, albeit slightly subdued, demand in the construction sector, underscores a market environment where tariff-driven supply pressures support elevated lumber prices amid ongoing uncertainty.