1.   Also pointing to future weakness are falling lumber prices.

2.   As it turned out, rising lumber prices were virtually offset by lower prices in other goods, the company said.

3.   At the same time, lumber production in California has fallen by half, and lumber prices have quadrupled.

4.   Because lumber prices are so volatile, retailers try to keep a minimum of supplies on hand for fear of getting saddled with high-priced inventories.

5.   A slowdown could initially boost lumber prices, however, if builders increase their purchases to finish projects before winter, analysts said.

6.   After having fallen through most of the year, lumber prices in recent weeks have rebounded on speculation the production cuts will limit supply.

7.   After hitting rock-bottom last year, lumber prices have recovered this year, partly in anticipation of tariffs on Canadian suppliers.

8.   Builders have to weigh losing money if lumber prices rise against losing buyers if they factor in too high a cost in what they charge for their houses.

9.   But most of its shortfall is caused by the lowest lumber prices in five years, the retailer said.

10.   But with lumber prices so low, the value of those logs drops drastically as soon as sawmills cut those logs into two-by-fours.