Weekly Wool Market Report
Season 17 – Week 41
Source: Australian Wool Exchange (AWEX)
The Australian wool market resumed in all three centres in Week 41 after the annual one-week Easter recess. Although the markets were paused, the influx of wool continued. The result was an increase in the national offering to 54,409 bales. To date, this was the largest weekly offering this season, and the largest since week 29 in January 2017.
The total weekly value sold, $97.4 million, was the fourth-largest since AWEX commenced recording auction transactions in 1996. Despite the large increase in quantity (over 20 percent more wool available than the previous sale) the market performed very well. The Benchmark Eastern Market Indicator (EMI) recorded a modest 4 cent gain to close at 1776 cents. Due to currency movements when viewed in USD terms the EMI recorded a more substantial 12 cent improvement.
Although the market recorded an overall positive movement there were losses felt, mainly in the lower yielding, higher vm and inferior style lots. As in recent sales, demand for wools exhibiting low mid-breaks was again extreme as buyers fought hard to secure the limited offering, the result being that these lots continue to attract continually increasing premiums to the rest of the market.
The skirting market closely mirrored the fleece, modest increases for the week with wools with less than 2.0 percent vm and those with excellent additional measurement results, posting the largest gains. The crossbred market performed with mixed results: 28.0 to 30.0 micron had excellent support and rose by 20 to 40 cents. All other microns were irregular but tending 10 to 20 cents easier. The oddment sector attracted strong buyer interest, resulting in price increases across all types and descriptions. The three carding indicators recorded an average rise of over 27 cents.
The national offering reduces in Week 42 to 40,596 bales.