Domestic Hot-rolled Coil steel prices were $685 per ton through February 13. This was $37.38 a ton lower (-5.2%) month-over-month and $70/ton lower (-9.3%) year-over-year.
Futures suggest that prices will inflate slightly into the $700-$710 range by Q2, largely on traditional seasonal movements in prices. Tariff negotiations between Chinese and US administrations would have an impact on futures depending on the outcome, the biggest of which would be a positive trade deal outcome that improves demand for steel products.
Upstream activity in the oil and gas sector remains strong again this month. According to the Baker Hughes Rig Count for 02/8/19, the US experienced a 74-rig increase year-over-year; Canada was down by 85 wells over the last 12 months. The net difference is a change in North American rig counts of -11 Y/Y.
In the US, 63 of the ‘net new’ rigs were oil-based and 11 were gas.
The American Supply Association (ASA) and its Industrial Piping Division (IPD) is the national organization serving wholesaler-distributors and their suppliers in the industrial and mechanical pipe-valve-fitting industry. As a powerful alliance of channel partners, we provide a forum for your upstream trading partners to exchange critical information and address key issues.
In particular, ASA’s IPD members constantly check the pulse of the materials and commodities they proudly supply to you. ASA’s IPD members are knowledgeable industry leaders, and those who volunteer their service on the IPD Executive Council compile and prepare the IPD Commodity Reports. The Reports contain some of the most current and qualified market data and information available from the industry’s leading manufacturers and distributors about emerging trends and other price-influencing actions and events.
This information is an example of how ASA’s IPD manufacturer and distributor members are constantly looking ahead to ensure you have information and resources you need to be successful. Learn more at www.AdvanceYourAbility.com.