Although rumors still persist regarding a potential price decrease for US domestic wire rod, spot prices have remained stable this week in the range of $24.25-$25.25 cwt. ($485-$505/nt or $533-$555/mt) ex-mill. However, sources are quick to point out that the pause in minor price downticks does not represent a trend—more downticks are expected in the near-term, at least until scrap prices settle next month.
Another slight downtrend in scrap prices would strengthen the wire rod price decline, likely prompting an official price decrease, according to some sources. But if scrap moves sideways as predicted, or even ticks up a few notches as some hope, the most likely effect on the US domestic wire rod market would be an extended pause in spot price declines—but not a price increase.