SMU Steel Buyers Sentiment: Optimism on the Rise in 2021

Steel Buyers Sentiment, as measured by Steel Market Update, hit a very optimistic +70 this week, not far from the highest reading ever recorded at +78 in January 2018. Future Sentiment was nearly as bullish at +63, just 14 points below its historical peak of +77, also in early 2018. Both Current Sentiment and Future Sentiment have made remarkable recoveries from near-record lows last April when the pandemic hit.

Every two weeks, SMU asks steel buyers how they view their company’s chances for success in the current environment, as well as three to six months in the future. Current Sentiment has inched steadily upward since the beginning of the year, likely reflecting the healthy demand and the staying power of record-high steel prices. While generally positive, comments from steel buyers show that many are concerned about the price correction expected to come sometime this year.