Although many US import rebar buyers held back from booking orders recently to see just how low offers could go, it appears that many are viewing the downtrend as “unsustainable” and have re-entered the market. As a result, traders are reportedly scrambling to secure orders, dropping their offers by another $0.50 cwt. ($10/nt or $11/mt) this week. The new range of $19.00-$20.00 cwt. ($380-$400/nt or $419-$441/mt) DDP loaded truck in US Gulf ports will most likely drop again by next week.
As for the US domestic market, sources tell SteelOrbis that with speculation of a steeper scrap drop next month starting to surface, mills might have “no choice” but to issue a price decrease. Until then, most spots are in the mid-to-low end of the $31.50-$32.50 cwt. ($630-$650/nt or $694-$717/mt) ex-mill range.