Wire rod prices for October
shipments have consolidated at the lower levels seen late last
month with demand lacking in most regions and end
mills transaction prices for October fe$10 per ton fell
late last month following a September downturn in scrap prices
amm.com, Sept. 27). Some mills attempted to hold
on to their margins, but many buyers are sated with import
material and have little need to buy significant tonnages from
the mills in the fourth quarter.
"Theres so much
steel floating around right now, theres no issue with
supply," a Midwest wire rod buyer said. "The mills are all
dying for work. Everyone came down for October. Were not
buying anything. We have plenty of steel and plenty
Low-carbon wire rod
prices have been noticeably even across regions, with
mesh-quality wire rod transacting at around $630 per ton
($31.50 per hundredweight) and industrial-quality rod at about
$640 per ton ($32 per cwt). High-carbon rod is around $680 per
ton ($34 per cwt) and cold-heading-quality rod about $770 per
ton ($38.50 per cwt).
Some wire rod buyers
east of the Mississippi said demand had picked up some in the
past several months, partially due to moderately improved
construction demand brought on by drier weather.
"Snow and rain
impacted construction from January to mid-August across all of
our footprint," said a wire rod buyer in the East. "Its
not robust, but it has picked up."
The market is bracing
for a seasonal slowdown in the fourth quarter, with lead times
short and wire rod buyers and mills hungry for business.
"Markets are weak in
the fourth quarterthere are lots of imports coming in and
lead times are very short," said a second wire rod buyer in the