SMU Data and Models
SMU “Flash” Report: Distributor Inventories Dip to 2.6 Months
Written by John Packard
January 4, 2018
So far this month, Steel Market Update has had a strong response rate from the service centers registered as inventories data providers. As of this afternoon, we had 79 percent of the steel service center data providers respond to our inquiry about their flat rolled and plate steel inventories.
The headline number is flat rolled inventories dropped, although not as radically as some might have been thinking. At the end of February, steel distributors were averaging 2.8 months of supply on their floors. According to our Flash analysis, SMU is seeing inventories dropping to 2.6 months of supply.
This is the lowest level we have recorded since we began measuring flat rolled inventories as of the end of July 2017.
Of those responding about March inventories:
• 21% reported inventories as being higher than what was reported as of the end of February.
• 21% reported inventories as being the same as the end of February.
• 58% reported inventories as moving lower compared to the end of February.
We anticipate that we will have our final service center inventories report available either over the weekend or early next week.
If you have any questions, please contact John Packard at John@SteelMarketUpdate.com or 800-432-3475.
John Packard
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