Although demand and order activity in the US domestic wire rod market are still relatively soft, especially in comparison to other long products such as rebar, spot prices have not dropped further after a dip just before Thanksgiving. Prices are still available in the range of $31.00-$32.00 cwt. ($620-$640/nt or $683-$705/mt) ex-mill, and sources tell SteelOrbis that mills are “laying low” for the remainder of the month and will not attempt any further price adjustments.
However, as the first quarter of the new year begins, US mills might be in a good position to firm prices up on a case-by-case basis, as scrap prices historically rise in supply-tightening winter weather and import arrivals—including attractive position deals at the port—are drying up. According to US import license data, only 9,830 mt of Turkish wire rod arrived into the US in November, compared to over 60,000 mt in October. And while Turkish wire rod offers on the CFR level are still weak, US-based traders are reluctant to lower offer prices any lower than the current range of $27.50-$28.50 cwt. ($550-$570/nt or $606-$628/mt) DDP loaded truck in US Gulf ports, citing already-thin margins and little interest.