ISM Steel Buyers Looking Forward to Stronger Orders

Steel buyers in the ISM Steel Buyers Survey are expecting an increase in new orders in the next three months. Of those surveyed, 46.7 percent are expecting business to improve in the early months of 2014, up from only 18.2 percent in December. Backlogs in the next three months are expected to increase said 33.3 percent (up from 18.2 percent in December) while 53.3 percent of buyers expect backlogs to remain the same.

Tons on hand will cover shipping levels for 0-1 months for 33.3 percent of respondents, 1-2 months for 40 percent, and 2-3 months for 26.7 percent. The percentage of those with shipping levels for 0-1 month jumped from 18.2 percent in December. Tons on hand are relatively unchanged from 12 months ago or slightly down. Inventory to demand was considered about right for 73.3 percent of respondents.