Traders tell SteelOrbis that they are offering Turkish wire rod in the same price range as last week, but the pause in the product’s downtrend is temporary—prices still have room to fall, and another decrease could be seen as soon as next week. With prices still in the range of $21.00-$22.00 cwt. ($420-$440/nt or $462-$484/mt) DDP loaded truck in US Gulf ports, customers in the US are reportedly holding back from ordering, eager to see how low prices can go, but sources are not certain that such a strategy is sustainable. “If they wait too long,” said one source, “any pickup in demand will mean turning to domestics for short lead times.” Other sources said if buyers want to wait, they might as well wait a few months until the Q1 positions start arriving, “which might start to resemble the rebar bloodbath this coming year.”
As for the domestic market, sources report more and more deals occurring near the low end of the current $26.50-$27.50 cwt. ($530-$550/nt or $584-$606/mt) ex-mill spot range, making the $27.50 cwt. price point “nonexistent” except for a minority of smaller buyers.