Although there has been no measurable increase in demand or tightness in supply within the US domestic wire rod market, Nucor announced this week a $1.50 cwt. ($33/mt or $30/nt) price increase for wire rod products, effective with all new orders. Sources say the move is surprising, especially given US shredded scrap prices declined by $20/mt this month, but others are pointing to the US Senate passage of the long-awaited infrastructure bill as a likely motivator. Another source said the increase could be more of a pre-emptive strike before wire rod prices softened—sources had been expecting a gradual downward trend in the coming weeks.
Either way, it is unclear for now whether the market will accept the increase. Until then, US domestic wire rod prices are unchanged in the range of $52.00-$53.00 cwt. ($1,146-$1,168/mt or $1,040-$1,060/nt) ex-mill.