With the pricing bottom reached for other imported long product prices in the US—rebar, most notably—many expected import wire rod prices to follow the slow climb upward. However, demand for wire rod in the US is so slack across the board—interest in both imports and domestic product has not seen a measurable increase in months—that traders tell SteelOrbis they only see “price doldrums” on the horizon. On the supply side, Turkish mills are reportedly eager to firm up their wire rod offers to the US as their scrap prices rise, but US traders are resisting. Therefore, import wire rod offers from Turkey are unchanged this week in the range of $24.50-$25.50 cwt. ($490-$510/nt or $540-$562/nt) DDP loaded truck in US Gulf ports.
US domestic mills are just as eager to lift market prices, but they are known for not letting market factors like demand influence their pricing decisions. While many sources expect stability in spot prices for the time being, one source close to SteelOrbis insisted that a quiet price increase is in the works, because “mills think the best time to raise prices is when everyone else thinks it’s the worst time.” However, the actual effect of any potential increase would not necessarily be higher prices—sometimes US mills use increases to “send a message” that orders will not be booked for any lower than the current range, which is still between $26.50-$27.50 cwt. ($530-$550/nt or $584-$606/mt) ex-mill this week.