With many areas of the US starting to reopen amid the Covid-19 pandemic, including manufacturing facilities, sources tell SteelOrbis that activity within the US domestic wire rod market is picking up slightly. However, buyers are only looking for needed materials, with little interest in boosting inventories, due to an undercurrent of concern that the reopening is too soon.
Mill supply is still tight from reduced production, and alongside a rise in US scrap prices this month, sources say mills will likely be able to hold tight to spot prices, with some forecasting prices could possibly dwindle to $28.00 cwt. ($617/mt or 560/nt) ex-mill by mid-summer, but “no lower than that.”
Currently, US domestic wire rod prices are unchanged week-on-week in the range of $28.50-$30.00 cwt. ($628-$661/mt or $570-$600/nt) ex-mill.