Can you believe it! The second half of 2020 is here and looking much brighter than the first half, I hope.

Oil price war and COVID-19 converged to cut oil production and slash capex spending.

Uncertainty continues to prevail in our industry as we enter the second month of quarter No. 2 of calendar year 2020. Our sector of the economy has, and continues to be, engulfed in a perfect storm of events. 

A disruption in the supply chain caused by the COVID-19 virus may cause delays of offshore welding fittings and forged steel flanges.

As of this writing, oil prices have retreated as a result of the coronavirus, coupled with the glut of oil on the market, to $50.34 for WTI and $54.45 for Brent Crude.

A market downturn in the construction industry is coming; however, it’s not likely until after 2020. Construction industry members and observers know a decline is inevitable with market growth continuing too long to last.

The construction markets are entering the late stage of the recovery cycle; however, experts do not predict an impending downturn in the United States.

With the end of the year rapidly approaching, we begin to focus on what to expect in the year 2020. The Bureau of Labor Statistics reported an increase in the construction industry’s jobless rate. It rose to 4 percent at the end of the third quarter, despite a gain of 10,000 jobs.

Construction unemployment data from the U.S. Bureau of Labor Statistics indicates that as of the beginning of the fourth quarter, construction unemployment equaled its lowest monthly level reported in over a decade.

As we enter the fourth quarter of 2019, the Bureau of Labor Statistics is reporting the construction sector unemployment has declined to 3.6 percent.