Homebuilders slide after Trump administration announces a 20% tariff on Canadian lumber

Homebuilding stocks are sliding on Tuesday morning, with the S&P 500 Homebuilding Index down 1.4%, after US Commerce Secretary Wilbur Ross said his agency will impose a 20% tariff on Canadian softwood lumber imports.

“It’s about 31.5 per cent of the total U.S. market, so it’s a pretty big deal in terms of the Canadian relationship,” Ross told Reuters by phone ahead of the announcement.

While most of the index is seeing some selling in early US trade, PulteGroup is the biggest laggard, down about 4.8% after reporting its first-quarter results.

Here’s a look at the performance of some of the other major homebuilders in early Tuesday trade:

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