Wood’s proven goal-scoring ability will be a boost for newly promoted Forest, who sit in 13th in the Premier League table, with $33m striker Awoniyi facing an extended period on the sidelines.
Wood has 54 goals across 189 top-flight appearances. He has netted three times this season in 18 appearances for Newcastle, but has only started four times.
Contracted to Newcastle until the end of the 2023-24 season, Wood has previously spoken about his desire to stay at the club.
“Especially with the way the clubs is going, I’d love to be here long-term. Or even longer than that,” he told Newcastle Chronicle late last year.
“I still believe I have a big part to play here. I have not shown my best football here yet but hopefully I can do that given the chance. If not I am here to support the club and push them in the right direction. I am committed here and want to be here.”