May
14
2019
Off
Lumber Prices Are a Great Leading Indicator of Future Earnings
This chart suggests that lumber prices give a good forecast of where the stock market is going. When lumber prices fall over a 12-month period, then EPS follows 6 months later. Although there is no immediate recession on the horizon, a market downturn is possible.
Image: U.S. Global Investors
![Lumber prices have been a great leading indicator of future earnings](https://www.isabelnet.com/wp-content/uploads/2019/05/Lumber-prices-have-been-a-great-leading-indicator-of-future-earnings.png)