Now that predictions for US domestic scrap prices this month have shifted to a likely sideways trend, sources tell SteelOrbis that US domestic wire rod mills will lose some leverage in pushing through the $2.75 cwt. ($61/mt or $55/nt) price increase announced in mid-September. Sources had previously speculated that mills could get $2.00 cwt. ($44/mt or $40/nt) of the increase if scrap prices moved upward in October, but now that expectations for scrap have shifted, sources say they do not foresee any further movements upward for US wire rod prices.
Only about $1.00 cwt. ($22/mt or $20/nt) of the mill price increase was absorbed into the market immediately following the increase announcements, and US wire rod prices have leveled out since then. Currently, US domestic wire rod prices are unchanged week-on-week at $27.50-$29.00 cwt. ($606-$639/mt or $550-$580/nt) ex-mill.