Although current expectations point to a slight increase in US domestic shredded scrap prices this month, sources say the trend will have little to no effect on US domestic wire rod prices, which are becoming increasingly vulnerable. Sources report that mills are experiencing resistance to quotes on the higher end of the price range, and as such, few if any transactions have been reported above $29.00 cwt. ($639/mt or $580/nt) ex-mill. The low end of the spot price range remains stable at $28.00 cwt. ($617/mt or $560/nt) ex-mill.
Overall, however, sources do not expect drastic shifts in US wire rod prices for the remainder of the year. Prices could dip below the low end of the spot range, but only slightly, and looking much farther ahead, some sources say a price recovery back over the $30.00 cwt. ($661/mt or $600/nt) ex-mill level is possible by spring of next year.