Ryan Dezember of The Wall Street Journal reports that cardboard producers are boosting prices for the first time since early 2022, which suggests the economy is revving up. He writes:
Cardboard prices are pointing to better times ahead.
Producers are lifting prices for the thick paper used to make delivery boxes for the first time since the Federal Reserve began raising interest rates early last year.
It is a sign that the inventory hoarding that characterized the postpandemic recovery is ending. If history is a guide, more expensive cardboard also suggests the economy is revving up.
Some analysts warn, however, that it is too soon to tell if the price increases will stick and be repeated, or if they are a one-time adjustment in a market whipsawed by the unique circumstances of the pandemic. […]
He attributed much of that to the shift in consumer spending following the lockdown from goods, which come in boxes, to services, such as cruises and concerts. The cardboard price increase suggests a reversal.
“The cardboard-box economy and Taylor Swift economy look like they’ve flipped,” he said.
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