Invesco MSCI Global Timber ETF

CUT

Market cap $41.2M

He warned that tariffs on upholstered furniture, kitchen cabinets and bathroom vanities will jump on Jan. 1, 2026, unless foreign nations are able to reach trade agreements.

Builders are sensitive to lumber pricing. But they are likely to weather the new tariffs, one analyst says.

US President Donald Trump ordered 10% tariffs on imports of softwood timber and lumber, as well as 25% levies on kitchen cabinets, vanities and upholstered wood products. The tariffs are set to apply from Oct. 14, with some increases targeted to take effect Jan. 1, according to a proclamation signed Monday.

The White House set a relatively low tariff on imports of timber and lumber, and a significantly higher tariff on furniture and kitchen cabinets.

Timber ETFs: WOOD's Growth Potential Vs. CUT's Defensive Position

Lumber is in the spotlight as the National Association of Home Builders and the U.S. Lumber Coalition disagree about what's behind the U.S. housing market experiencing a slump.

CNBC's Diana Olick reports on how tariffs could be impacting the housing market.

Kyle Little, Sherwood lumber chief operating officer, joins 'Power Lunch' to discuss how to trade lumber.

Lumber prices have come full circle in the years following the pandemic — reaching record highs in 2021, then falling to record lows as higher interest rates led to a drop in U.S. residential construction. But there's now an opportunity for buyers and homebuilders alike.

This has been a messy week if you ask me. Yields rose, Bitcoin ( BTC-USD ) fell, stocks largely, and volatility is, well, volatile.