FASTENER DISTRIBUTOR INDEX (FDI) | January 2022hdfadmin
The Fastener Distributor Index (FDI) survey for January, 2022. The FDI dipped slightly again last month, coming in at 52.7 after closing out 2021 with a 56.2 reading, seasonally adjusted.
The Forward Looking Indicator (FLI) remained upbeat but followed suit, declining slightly to 62.8, the 20th consecutive month of positive outlook.
The January seasonally adjusted Fastener Distributor Index (FDI) was slightly softer m/m at 52.7, although modest underlying improvement was seen in most metrics; the seasonal adjustment factor downwardly impacted results as January is normally the strongest month of the year for the index.
Respondent commentary pointed to customer fatigue amid erratic supplier deliveries and lead times. The Forward-Looking Indicator (FLI) was modestly softer as well, coming in at 62.8, due to higher inventory levels and a less-optimistic six-month outlook. Net, we believe fastener market conditions were mostly stable with December with continued very strong demand partially weighed down by persistent supply chain challenges.
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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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