Producer Price Index: The U.S. Bureau of Labor Statistics’ Producer Price Index (PPI) for final demand increased 0.3% in November 2022 (seasonally adjusted), following the 0.3% increase in October. The index for final demand goods inched up 0.1% in November, while the index for final demand services grew 0.4% after a 0.1% increase in October. About one-third of the November rise in the index for final demand services can be traced to prices for securities brokerage, dealing, investment advice, and related services, which jumped 11.3 percent.

Crude Oil & Natural Gas Pricing: November’s average West Texas Intermediate (WTI) crude oil price per barrel decreased 4% month on month (m/m). The WTI is up 7% year on year (y/y), coming in at $84.37 / barrel in November 2022 vs. $79.15 / barrel in November 2021.

Oil and Gas Rotary Rig Counts: The total number of operating rigs in Canada for the week ending November 25th was 129 oil and 65 gas (totaling 194). In percentage terms, on a month on month (m/m) basis, oil rigs were down 11.0% and gas down 3.0%. On a year on year (y/y) comparison, rigs were up 21.7% for oil and flat for gas. The combined figure for y/y was +13.5% or 23 rigs.

Oil and Gas Rotary Rig Counts: The total number of operating rigs in the U.S. for the week ending November 25th was 627 oil and 155 gas (totaling 782). In percentage terms, on a month on month (m/m) basis, oil rigs were up 2.8% and gas was down 0.6%. On a year on year (y/y) comparison, rigs were up 34.3% for oil and up 52.0% for gas. The combined figure for y/y was +37.8%, or +215 rigs.

Currency Report: The trade-weighted U.S. Broad Dollar Index posted a reading of 125.015 in November, down 2.06% m/m, reversing trend after increasing the past two months. This index value is up 8.69% on a year on year (y/y) basis. Month over month, we saw the Canadian dollar, Chinese yuan, Indian rupee, Japanese yen, Mexican peso, and the South Korean won strengthen vs. the USD in November.

Employment by Industry (U.S.): In November 2022, the total number of seasonally adjusted (SA), non-farm people employed in the U.S. was 153.5 million (M) – an increase of 263,000 (+0.2%) month on month (m/m). When compared to November 2021, total employment is up by 3.3% year on year (y/y). Among the employment sectors that we track at Gerdau, we saw the greatest monthly gain in the leisure and hospitality sector with a growth of 0.6% m/m.