Wood is Good! With the Lords of Lumber: Stinson Dean and Kyle Little

Timmberrrrr...welcome to the world of lumber! We’re laying the lumber in this episode talking through an exciting world some know as timber; others as fiber or wood, and the futures world as Lumber. Whatever you call it, it is impacting today's market with its wild swings, and in this episode, we're getting down to the nitty-gritty with two wood wizards, Stinson Dean of Deacon Lumber and Kyle Little of Sherwood Lumber — who both have interesting stories behind their names. One for having a challenging time with two first names and the other whose company was named after Sherwood Forest of Robin Hood lore (we'll get more into that in the episode)!

We're chopping it up with Stinson and Kyle and asking those must-know lumber questions that may leave you stumped (have we used enough wood puns yet?) like; why lumber is such a big deal? Why do lumber prices speak to everyone, from your family members to Bloomberg? What's fundamentally wrong with a market that it can roundtrip 300% to 400% in a little over a year (TWICE)? Is this market broken? Can the world handle these high prices, is it a supply chain issue, global warming, inflation? Work from home? And more!

Highlights from this episode include:

• How lumber tends to be one of the leading indicators of what's going to happen in many different markets
• Why lumber prices spiked so dramatically during the pandemic
• Logistics and what the lumber journey looks like from the forest to the Home Depot
• Why lumber has been volatile for a long time, and where the next 100yrs of supply can come from?
• Why there isn’t any wood in sci fi movies
• And, we discuss how Kyle and Stinson are competitors, vendors, customers all wrapped up into one, plus more!

Chapters:

01:50-16:20 = Why is Lumber such a Big Deal?  High prices, Volatility, and the Raw Commodity

16:21-35:23 = Roundtripping 400%...Is the Lumber market broken?

35:24-58:17 = Fewer Offers & Fewer Bids in the Cash Wood Market

58:16-01:10:40 = Lumber as the Remote Work/Climate Change/Supply Chain/Inflation Proxy

01:10:41-01:20:40 = There’s no wood in sci fi movies. What’s the Future for Lumber?

01:20:41-01:27:24 = Hottest Take: Inflation is Good, Wood is Good

Follow along with Stinson on Twitter @LumberTrading and Kyle Little on Twitter @lumberlittle

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Disclaimer: This podcast is provided for informational purposes only and should not be relied upon as legal, business, or tax advice. All opinions expressed by podcast participants are solely their own opinions and do not necessarily reflect the opinions of RCM Alternatives, their affiliates, or companies featured. Due to industry regulations, participants on this podcast are instructed not to make specific trade recommendations, nor reference past or potential profits. And listeners are reminded that managed futures, commodity trading, and other alternative investments are complex and carry a risk of substantial losses. As such, they are not suitable for all investors. For more information, visit www.rcmalternatives.com/disclaimer