Is a price decrease on the horizon for US wire rod?

Thursday, 13 October 2016 00:06:35 (GMT+3)   |   San Diego
       

In reaction to Midwest shredded scrap prices falling $10-$20/ton this month, the US domestic wire rod market is even more vulnerable to an official mill price decrease, but sources tell SteelOrbis that while a decrease announcement would make sense, the growing consensus is that US wire rod mills are reluctant to make things “official.” Instead, sources expect increased flexibility at the negotiation table, with mills extending existing large-customer deals to the rest of the market.
 
Already, the overall spot transaction range has sagged by about $0.25 cwt. ($5/nt or $5.50/mt) in the last week, bringing prices down to $24.25-$25.25 cwt. ($485-$505/nt or $533-$555/mt) ex-mill. The only thing helping US domestic wire rod prices, according to sources, is diminished interest in imports—so far in October, tonnage levels indicate the full-month total will be lower compared to September, which means less position availability.

Similar articles

Asian wire rod market tumbles amid pessimism in China

28 Mar | Longs and Billet

Turkey seeks to raise rebar export offers, demand mostly seen locally

27 Mar | Longs and Billet

Japanese crude steel output down 3.8 percent in February from January

27 Mar | Steel News

Saudi Arabia’s Hadeed keeps local longs prices stable again for April

26 Mar | Longs and Billet

Local Turkish official domestic wire rod prices follow diverse trends

26 Mar | Longs and Billet

Iskenderun-based Turkish mill issues its longs prices

26 Mar | Longs and Billet

Some EU flat steel import quotas about to be exhausted near end of period

26 Mar | Steel News

Local wire rod quotations in Indian market - week 13, 2024

26 Mar | Longs and Billet

Local Chinese longs prices up $7-8/mt amid improved demand

25 Mar | Longs and Billet

Stocks of main finished steel products in China down 0.6 percent in mid-March

25 Mar | Steel News