With lower mortgage rates expected, will we see a hotter housing market increasing demand for lumber and lumber prices? …Although many mills continued to run during previous tough times to drive high-cost producers out of the market, mills are taking downtime more quickly now to support prices. …After a slowdown in homebuilding activity over the previous months, U.S. housing starts as of August sit at 1.36 million annual units, up 9.6 per cent month over month. Building permits were also up. …The underlying messages are: falling mortgage rates are supporting a stronger housing market which in turn is helping guide us to a soft landing in this economic cycle. When we combine that with strategic industry downtime and a large deficit in the home supply, we should see lumber prices maintain the higher end of their new normal range into 2025 after a seasonal dip near year-end. [to access the full story a Globe and Mail subscription is required]