Tree Frog Forestry News

Stocks seeing action on Tuesday – and why

By David Leeder
The Globe and Mail
October 22, 2019
Category: Business & Politics
Region: Canada, United States

After releasing weaker-than-anticipated Q3 results after the bell on Monday, shares of West Fraser Timber were up 0.5 per cent in early trading. The Vancouver-based company said output was down 3 per cent compared to the second quarter. …Raymond James analyst Daryl Swetlishoff said: “In the wake of an unprecedented round of sawmill curtailments North American lumber shipments are poised to decline. At the same time, U.S. housing activity levels have normalized following 6+ months of interest rate easing. We expect these factors plus seasonal tailwinds to allow benchmark lumber pricing to melt up to at least B.C. AVC. As such, we expect West Fraser to perform well during this period, given the high correlation to lumber prices.” [END]

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