Carbon steel pipe report: February 2019
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.
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