Spot prices for US domestic wire rod have not moved in the last week, putting a pause on the gradual downtrend that’s the result of soft scrap and dropping import offers. However, while scrap prices are expected to fall again in July and import offers remain low and flexible, the primary cause of this week’s neutral trend for wire rod is quiet purchasing activity in the market.
As expected, the annual summer slowdown in steelmaking and steel buying activity has already started, and without a desperate need for orders, mills and customers alike have no incentive to push hard at the negotiation table. As such, spot prices for US domestic wire rod are still in the range of $27.00-$28.00 cwt. ($540-$560/nt or $595-$617/mt) ex-mill, although sources are quick to note that the range is by no means firm—outlier deals for underneath the range are possible for the right customer.