Although many within the US domestic wire rod market were surprised when two mills announced substantial price increases last week, prices have firmed up despite the skepticism. Sources tell SteelOrbis that continued strong demand and lack of competition from imports are having a stronger influence on prices than scrap prices, which fell slightly earlier this month.
As such, US domestic wire rod spot prices are now in the wider range of $53.00-$55.00 cwt. ($1,168-$1,213/mt or $1,060-$1,100/nt) ex-mill, up $2.00 cwt. ($44/mt or $40/nt) on the low end of last week’s range and up $3.00 cwt. ($66/mt or $60/nt) on the high end of the range. The week-on-week increase reflects a mid-point between Nucor’s $1.50 cwt. ($33/mt or $30/nt) increase and Evraz’s $3.50 cwt. ($77/mt or $70/nt) increase. However, sources report that some smaller buyers are likely paying slightly more than the top end of the new range.