Weekly Wool Market Report
Season 17 – Week 43
Source: Australian Wool Exchange (AWEX)
The Australian wool market has continued its upward trend, rising for the third consecutive week.
Despite the selection again consisting of a large number of poorer style, lower yielding wools, buyer sentiment remained very high as lack of supply in the coming months continues to be a concern.
It was an unusual selling pattern of Tuesday and Thursday sale days, due to the Anzac Day public holiday.
On the first day of selling aggressive buying pushed prices higher and as a result the Benchmark Eastern Market Indicator (EMI) rose by 22 cents, finishing the day at 1847 cents, easily surpassing the previous record of 1834 cents set in February of this year.
On the second day of selling, buyers became more selective in their purchases, pushing prices down.
Despite the fall in the price of merino wool, the EMI only lost 1 cent, mainly due to the steep rise of the crossbred sector.
Interestingly, despite the overall increase in prices, due to currency movements, when viewed in USD terms, buyer’s purchases were actually cheaper for the week.
This was reflected in the EMI falling by 27 cents when viewed in US cents.
The skirtings also managed rises of between 20 and 40 cents.
Wools carrying less than 3.0 percent vegetable matter and those with favourable additional measurement results, recording the largest gains.
The crossbred sector continued its upward rise, posting its fourth consecutive weekly increase and as mentioned earlier posting significant gains. 25.0 through to 30.0 micron, sold at levels 50 to 150 cents above those achieved at the previous sale.
The large increases pushed the Micron Price Guides (MPGs) for 25.0, 26.0 and 28.0 into record territory.
The oddment market rose for the fifth consecutive trading week. All types and descriptions generally sold at levels 5 to 10 cents above those achieved at the previous sale, wools finer than 18.0 micron most affected.