While the unexpected $30/mt drop in US domestic scrap prices this month has increased price vulnerability in the overall US domestic rebar market, actual price trends are varying depending on region.
In the Midwest, sources report steady to busy demand levels, which has allowed some US rebar mills to hold firm to their current spot prices. Some large distributors are even curtailing orders as a way to squeeze deals out of mills, and while spot prices on the top end of the range have dropped somewhat, prices on the low end of the range are holding steady. As such, US domestic rebar spot prices in the Midwest are now at $33.50-$34.25 cwt. ($670-$685/nt or $739-$755/mt) ex-mill, reflecting a $0.25 cwt. ($5/nt or $5.50/mt) drop on the high end since last week.
Meanwhile, sources on the East coast report less-than-robust demand, which has led to lower spot prices this week. US domestic rebar prices on the East coast are now $34.00-$35.00 cwt. ($680-$700/nt or $750-$772/mt) ex-mill, reflecting a decrease of $1.00 cwt. ($20/nt or $22/mt) since last week.