(by Kurt Minnich, www.pipe-logix.com) Line pipe prices eased in December, down 0.4% compared to the previous month with domestic prices down 0.1% and import prices down 0.7%. The consolidated price index was down 19% during 2019 and down 23% since the downcycle that started 17 months ago, however, the pace of price declines has slowed since August 2019. Sentiment has improved but continues to indicate a slightly negative market environment. The NASPD Index was 47 in December, up from 31 in September. The Price Outlook component has returned to a neutral position after being deeply negative in September. New Orders and Overall Supply/Demand Balance remain strongly contracting while Inventory Direction is strongly expanding. Reported shipment volumes have trended lower since July and are dramatically lower compared to a year ago even though the cumulative trailing twelve month total is 6% higher than the prior period. The rig count continues to soften, down 25% from the peak a year ago. Oil price increased to near $60/bbl last month but gas price remained depressed near $2.20/mmbtu.
Pipe Logix Line Pipe Report – Dec 2019
Pipe Exchange
14025 West Road
Suite 100
Houston, TX 77041
- Phone: 713.934.9480
- Fax: 713.934.9490
- Email: sales@pipexch.com