Elders
Season 18 – Week 17
Source: Australian Wool Exchange (AWEX)
After a short lived upward trend of the Australian wool market, the market has continued its downward slide into negative territory in Week 17.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
A heavily reduced market was evident from the outset, and as the sale progressed buyer confidence slowly eroded, pushing prices continually down.
The finer microns were the hardest hit in the falling market, by the end of the series 17.5 micron and finer were selling at levels 100 to 150 cents below those achieved in the previous week.
19.0 micron and coarser did not sustain the same losses and were generally 50 to 75 cents easier.
The Western region did not experience price reductions as large as the Eastern state’s markets, this was mainly because the Fremantle market was already trading at levels below Sydney and Melbourne.
The AWEX Eastern Market Indicator (EMI) fell by 72 cents on the first selling day, this was the largest daily fall in the EMI since 2003.
This was followed by a further 24 cent reduction in the EMI on the second day of selling.
The EMI lost a total of 96 cents for the week, closing at 1,874 cents.
This was also the largest weekly drop in the EMI since 2003.
The large price corrections were met with firm seller resistance.
The national passed in rate was 23.6 per cent for the week, this was the highest passed in rate since February 2014.
This was on top of the 6.9 per cent of wool that was withdrawn prior to sale.
The skirtings followed a very similar path to the fleece.
General losses of between 100 and 150 cents were experienced, wool finer than 17.5 micron most affected.
The oddment sector had another week of large losses.
Locks, stains and crutchings fell by 100 to 150 cents, pushing the three carding indicators down by an average of 138 cents.
The national quantity increases next week in week 18 to 40,351 bales, this increased from 38,702 bales on offer nationally in week 17.