It’s been no great secret that US oil prices have experienced a marked decline in the past several months; low prices and falling rig counts have traders, service centers and distributors keeping a close watch on inventories and trending cautious with their buys. Although more and more industry experts are predicting a rebound in oil prices, US line pipe buyers say that rebound will “not come soon enough,” and that the current market conditions can be described as “ugly at best.”
In terms of prices, US domestic spot market prices continue to hold at approximately $51.00-$52.00 cwt. ($1,124-$1,146/mt or $1,020-$1,040/nt) ex-Midwest mill, while as with last week, Taiwanese futures offers are once again mostly steady at $38.50-$39.50 cwt. ($849-$871/mt or $770-$790/nt) DDP loaded truck in US Gulf Coast ports; Vietnamese offer prices, which had previously trended approximately $0.50 cwt. ($11/mt or $10/nt) above that range, are now in line with Taiwanese offer prices, also DDP loaded truck in US Gulf Coast ports, with trader sources saying that Vietnamese mills are willing to negotiate deals with those looking to book larger tonnages.