The US domestic wire rod market, defined by slow demand and high inventory levels, has not changed in terms of buying activity over the last week, but spot prices are looking to be increasingly vulnerable to deals. Most US domestic wire rod spot prices are now in the range of $37.00-$38.00 cwt. ($740-$760/nt or $816-$838/mt) ex-mill, reflecting a decrease of $0.50 cwt. ($10/nt or $11/mt) in the last week.
Deals slightly below the range have been heard for volume buyers, although sources tell SteelOrbis that “hardly anyone” is looking to place large orders at the moment due to high inventory levels. While prices are not expected to drop substantially in the near term, sources say softness will likely persist unless some outside factor, such as strong US scrap prices, gives mills leverage to be firm with wire rod prices. However, predictions for April US domestic scrap prices are currently pointing to a sideways trend.