Fastener Distributor Index – June 2021
Written by R.W. Baird analyst David J. Manthey, CFA with Quinn Fredrickson, CFA 7/7/21
The June seasonally adjusted Fastener Distributor Index (FDI) moderated slightly at 55.8, but remains solidly in expansionary territory. Driving the slight m/m contraction was a decline in both the sales and employment indexes. Respondent commentary focused on broad-based inflationary pressures and product shortages.
The Forward-Looking Indicator (FLI) similarly moderated at 71.1, but remains at a robust level, signaling expected expansionary demand conditions in the months ahead. Net, demand and pricing remain strong but widespread shortages continue to constrain growth.
READ THE FULL REPORT:FDI_Report_June_2021
We encourage all North American fastener distributors to take part in the FDI. If you are interested in being a more active part of the fastener industry, you can apply to add your company to the FDI survey group. Complete the “Request an Invitation to Participate” form by clicking here. Once verified, you will receive login ID and password information and you will be notified by email every month when the survey period has been opened. – Fastener News Desk
About the Fastener Distributor Index (FDI).
The Fastener Distributor Index (FDI) was developed as a service to the fastener industry by the FCH Sourcing Network in 2012 to be a new benchmark for the fastener industry.
The FDI is a monthly survey of North American fastener distributors, conducted with the FCH Sourcing Network and Baird with support from the National Fastener Distributors Association. It offers insights into current fastener industry trends/outlooks. Similarly, the Forward-Looking Indicator (FLI) is based on a weighted average of four forward-looking inputs from the FDI survey. This indicator is designed to provide directional perspective on future expectations for fastener market conditions. As diffusion indexes, values above 50.0 signal strength, while readings below 50.0 signal weakness. Over time, results should be directly relevant to Fastenal (FAST) and broadly relevant to other industrial distributors such as W.W. Grainger (GWW) and MSC Industrial (MSM).
The FDI Survey website is a resource than can be accessed by anyone, but it can only be updated by registered users during the monthly open survey period, which occurs during the last week of each month.
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Fastener Distributor Index