Crude Oil & Natural Gas Pricing: May’s average West Texas Intermediate (WTI) crude oil price per barrel decreased 10% month on month (m/m). The WTI is down 35% year on year (y/y), coming in at $71.58 / barrel in May 2023 vs. $109.55 / barrel in May 2022.

Currency Report: The trade-weighted U.S. Broad Dollar Index posted a reading of 119.855 in May, up 0.37% m/m, reversing trend after decreasing last month. This index value is up 0.01% on a year on year (y/y) basis. Month over month, we saw the Brazilian real, the Canadian dollar, the Euro, and the Mexican peso strengthen vs. the USD in May.

Employment by Industry (U.S.): In May 2023, the total number of seasonally adjusted (SA), non-farm people employed in the U.S. was 156.1 million (M) – an increase of 339,000 (+0.2%) month on month (m/m). When compared to May 2022, total employment is up by 2.7% year on year (y/y). Among the employment sectors that we track at Gerdau, we saw the greatest monthly gain in the heavy and civil engineering construction sector with a growth of 1.0% m/m.

Oil and Gas Rotary Rig Counts: The total number of operating rigs in Canada for the week ending May 26th was 42 oil and 45 gas (totaling 87). In percentage terms, on a month on month (m/m) basis, oil rigs were up 16.7% and gas down 21.1%. On a year on year (y/y) comparison, rigs were down 23.6% for oil and down 6.3% for gas. The combined figure for y/y was -6.3% or -16 rigs.

Oil and Gas Rotary Rig Counts: The total number of operating rigs in the U.S. for the week ending May 26th was 570 oil and 137 gas (totaling 707). In percentage terms, on a month on month (m/m) basis, oil rigs were down 3.6% and gas was down 14.9% On a year on year (y/y) comparison, rigs were down 0.7% for oil and down 9.3% for gas. The combined figure for y/y was -2.2%, or -16 rigs.

Advance Durable Goods Orders: The U.S. Census Bureau reported that new orders for durable goods in April 2023 increased 1.1% (m/m) to $283.0M, following the 3.3% increase in March. The always-volatile nondefense aircraft orders, down 13.9% y/y, influenced this trend significantly.