SMU Data and Models
SMU Market Trends: Buyers Bullish on Next Year
Written by Tim Triplett
October 16, 2020
About 72 percent of the service center and OEM executives polled by Steel Market Update this week said they expect the economy in 2021 to be better than 2020. The other 28 percent was evenly split between those who expect more of the same and those who see next year being even worse.
No surprise, their comments focused on two factors: the outcome of the election and the spread of COVID-19. “It all depends on who is elected president,” said several respondents. “It all depends on the virus,” said several others. Expressed one optimist: “The best is yet to come. I’m a glass half full type of person.”
Steel buyers offered mixed views of demand, almost evenly split between those who said demand is the same or declining, and those who see demand improving.
“Demand has been very consistent,” said one buyer. “Construction, both residential and non-res, and agriculture are strong, so our business is excellent,” said another. “Things have slowed some in part because we are running out of inventory that people want or are willing to pay the high prices for,” added a third exec.
Tim Triplett
Read more from Tim TriplettLatest in SMU Data and Models
SMU Survey: Current Buyers’ Sentiment Index jumps, Future Sentiment slips
SMU’s Current Buyers’ Sentiment Index rocketed up this week, while the Future Buyers’ Sentiment Index edged down. The two indices are almost at parity.
SMU Survey: Mill lead times stretch to 10-month highs
Buyers responding to our latest market survey reported that steel mill lead times were stretching out this week for sheet and plate products tracked by SMU. The results weren’t much of a surprise. Production times have begun moving out following a wave of frenzied buying in response to stricter Section 232 announced by the Trump […]
SMU Survey: Mills slam door on buyers looking to talk price
Mills’ flexibility on price for spot orders has taken a nosedive to levels not seen since the end of March 2023.
SMU Survey: Steel Buyers’ Sentiment indicates increased optimism
After reaching multi-month lows in mid-January, SMU’s Steel Buyers’ Sentiment Indices rebounded this week to some of the highest readings recorded in months.
SMU Survey: Mill lead times fluctuate, extensions expected
While we have seen some movements in recent weeks, steel mill production times remain within a few days of the historical lows observed over the last two years, a trend observed since mid-2024.