SMU Steel Buyers Sentiment Index Slips After Previous Jump

Steel Market Update’s Steel Buyers Sentiment Index eased from it’s early-August blip, as did our Future Steel Buyers Sentiment Index. The latest Sentiment Index is tied with the early-June reading for the third lowest level recorded this year. Future Sentiment is now at the fourth lowest level of the year. Recall that one month ago, both Sentiment Indices saw double-digit declines, then quickly recovered in early-August.

SMU surveys steel buyers every other week, asking how they view their chances of success in the market today, and also a few months down the road. SMU’s Buyers Sentiment Index registered +60 this week, down six points from two weeks prior, but up 17 points from one month ago (Figure 1). In mid-July, Sentiment declined by 17 points to +43, the lowest level seen since August 2020. Sentiment then recovered 23 points in early August. Our Buyers Sentiment Index peaked at +82 in March of this year.