US domestic rebar prices have not moved in the last week, and while buying activity remains relatively steady, sources tell SteelOrbis that the market is bracing for a downtrend. With US domestic scrap prices predicted to finally decline in February after a steep months-long uptrend, sources say that US rebar mills might not necessarily announce a price decrease, but they will become much more flexible with the most recent price increase—$2.50 cwt. ($55/mt or $50/nt) in early January.
However, the downtick in rebar prices is expected to be “mild” compared to other steel products that nearly doubled in price since late summer. Rebar’s uptrend was much more moderated, and as such, the downtrend is not expected to be “severe.”
US domestic rebar spot prices are expected to remain stable until the scrap market settles next month, and so far prices are unchanged week-on-week. Spot prices in the Midwest are still ranging from $39.00-$41.00 cwt. ($860-$904/mt or $780-$820/nt) ex-mill, and $38.00-$39.00 cwt. ($838-$860/mt or $760-$780/nt) ex-mill on the East Coast.