Steel Products
Current, Future Sentiment Indices Slip
Written by Ethan Bernard
August 4, 2023
SMU’s Current and Future Steel Buyers Sentiment Indices have both fallen this week from the last market check, according to our most recent survey data.
Every other week we poll steel buyers about sentiment. The Steel Buyers Sentiment Indices measure how steel buyers feel about their company’s chances of success in the current market, as well as three to six months down the road. We have historical data going back to 2008.
SMU’s Current Buyers Sentiment Index stood at +60 this week, down from +64 two weeks earlier . (Figure 1). After falling from the 70s to +58 at the end of May, current sentiment has been hovering in the low- to mid-60s.

SMU’s Future Buyers Sentiment Index measures buyers’ feelings about business conditions three to six months in the future. This week, the index dropped three points to +61 vs. two weeks prior (Figure 2). The future index last cracked the 70 mark at the beginning of March.

Measured as a three-month moving average, the Current Sentiment 3MMA fell to +61.67 from +64 at the last market check. (Figure 3).

This week’s Future Sentiment 3MMA was +60.33, edging down slightly from +60.67 two weeks earlier (Figure 4).

What SMU Survey Respondents Had to Say:
-“Pricing pressures are real.”
-“We can get some orders and buys but they are not large.”
-“Once prices bottom out, then more orders will be placed.”
-“Customers running with low inventory, and given we can ship quickly, they in general are giving us orders for only what they know they can sell.”
-“Future demand seems to be improving over current demand.”
-“Contract buying has increased, some spot buying has returned to the market, and automotive is good coming out of their outages.”
About the SMU Steel Buyers Sentiment Index
The SMU Steel Buyers Sentiment Index measures the attitude of buyers and sellers of flat-rolled steel products in North America. It is a proprietary product developed by Steel Market Update for the North American steel industry. Tracking steel buyers’ sentiment is helpful in predicting their future behavior.
Positive readings run from +10 to +100. A positive reading means the meter on the right-hand side of our home page will fall in the green area indicating optimistic sentiment. Negative readings run from -10 to -100. They result in the meter on our homepage trending into the red, indicating pessimistic sentiment. A reading of “0” (+/- 10) indicates a neutral sentiment (or slightly optimistic or pessimistic), which is most likely an indicator of a shift occurring in the marketplace. Sentiment is measured via SMU surveys twice per month.
Click here to view an interactive graph

Ethan Bernard
Read more from Ethan BernardLatest in Steel Products

SMU flat-rolled market survey results now available
SMU’s latest steel buyers market survey results are now available on our website to all premium members. After logging in at steelmarketupdate.com, visit the pricing and analysis tab and look under the “survey results” section for “latest survey results.” Past survey results are also available under that selection. If you need help accessing the survey results, or if […]

CRU tariff webinar replay now available
CRU’s latest webinar replay on how Trump’s tariffs affect the global steel market is now available on our website to all members. After logging in at steelmarketupdate.com, visit the community tab and look under the “previous webinars” section of the dropdown menu. You’ll find not only this special CRU webinar but also all past Community […]

US, offshore CRC prices diverge
US cold-rolled (CR) coil prices declined this week, slipping for the first time since early February. Most offshore markets deviated, moving higher this week.

Construction growth slowed in March on tariff woes: Dodge
The decline comes after reaching a record high in January to kickstart the year.

Return of S232 zapped gap between US and EU HR prices, Asian HR remains cheaper
Domestic hot-rolled (HR) coil prices declined this week for a third straight week. Most offshore markets bucked the trend and gained ground. Uncertainty in the US market around tariffs, especially after “Liberation Day,” caused US prices to slip as buyers moved to the sidelines. It’s unclear to date whether the 90-day pause on the more […]