The Australian wool market sales were much the same this week, unable to maintain last week’s positive momentum, and instead reversed all of last week’s gain. The market was characterised by weaker demand across all three centres on day one as prices softened, with further falls on day two. Wool growers held on to their wool this week with the national clearance rate falling to 85%, compared to 93% last week.
The EMI finished the week 19 cents down at 1,555 a kg clean, or down 13 cents at 1,057 US cents a kg in US Dollar terms. On Wednesday, the EMI fell 16 cents to 1,558 a kg clean or 8 cents to 1,062 US cents a kg. On Thursday, the EMI moderated 3 cents or 5 US cents a kg. The AWEX reported turnover of wool sold at $54.37 million, taking the season’s total to $841.10 million.
In Sydney, prices slipped on day one, with the finer microns and best style lots with favourable additional measurements least affected. Further minor falls ensued across various specs on day two except for the 20-21 microns which held their ground. Merino skirtings sustained last week's price levels first before strengthening on day two. Crossbred lots trended cheaper while oddments were unchanged from last week on day one, with some categories gaining on day two. The Northern Regional Indicator finished at 1,591 a kg clean, down 19 cents, with the overall clearance rate at 87% compared to 93% in the previous week.
In Melbourne, losses were reported on day one before the market recovered, led by the 18.5 and finer microns. Buyers keenly sought best style lots with high strength (>37 N/ktex). Day two started strong but eased as the sale progressed, due to a large supply of lots with unfavourable additional measurements. Merino skirtings stumbled but fine and low VM lots were less affected and were sold at a premium on day two. Crossbred lost out while oddments gained strength during day one with further increases on day two. The Southern Regional Indicator retreated 19 cents at 1,531 a kg clean with clearance rate at 87% as against 94% in the previous week.
In Fremantle, finer microns were out of favour on day one with positive early results for broader specs unable to maintain by the end of the day. On day two, a stronger market saw minor price gains across all microns. Merino skirtings were softer on day one with inferior style lots carrying high VM losing the most ground before rebounding on day two. Oddments were mixed on day one before gaining value on day two. The Western Regional Indicator lost 22 cents to close at 1,655 a kg clean with a decline in the clearance rate to 76% from 90% in the previous week.
Next week 39,280 bales are rostered for sale across the three centres.
