Although the decreases in US domestic wire rod spot prices lately have been market-driven instead of dictated by mill policy, it appears that an official price decrease for December shipments could be on the horizon. Sources tell SteelOrbis that mills are advising customers of lower prices around $1.00 cwt. ($20/nt or $22/mt) off current spot prices, but many in the market do not think a price move will do much to spur demand. This week, at least, spot prices are still ranging from $25.50-$26.50 cwt. ($510-$530/nt or $562-$584/mt) ex-mill, although as one source put it, “mill letter or no mill letter, everything’s flexible right now.”
As for imports, attempts to increase offers have fallen as flat as traders predicted, so the current offer range for Turkish wire rod still stands at $19.25-$20.25 cwt. ($385-$405/nt or $545-$567/mt) DDP loaded truck in US Gulf ports. Traders tell SteelOrbis that on a positive note, they aren’t really competing with themselves right now, as positions are drying up fast at the port. As of November 17, US import license data has only recorded 3,206 mt of Turkish wire rod for the month, compared to 23,794 mt in October.