After remaining stable last week, spot prices within the US domestic wire rod market have started to crack this week due to strong indications that US domestic shredded scrap prices are set to decline by around $60/mt this month. Mills are reportedly still attempting to resist making significant deals, but nevertheless spot prices are down $0.50 cwt. ($11/mt or $10/nt) this week, into the range of $38.50-$39.50 cwt. ($849-$871/mt or $770-$790/nt) ex-mill.
Sources say this is “only the beginning” of a sustained downtrend in prices, and by next week the range is expected to decline further. However, sources still note two bright spots in the market: continually decent demand and lack of import competition.