The Eastern Market Indicator (EMI) lifted 30¢ to finish the week at 1,342¢. A similar result was posted in US dollar terms with the Aussie dollar marginally stronger to US$0.78, lifting the EMI 34 US¢, to finish at 1045¢.
At Fremantle sales, the Western Market Indicator (WMI) posted an even stronger result, lifting the WMI 46¢ for the week to settle at 1,375¢.
The opening strength in the market held over the week, with Fremantle last reporting that only the 18 MPG lost ground while all other types were firm or dearer.
The Crossbred was a tale of two stories; well-prepared lots attracted stronger demand while less well-prepared lines attracted discounts.
Cardings jumped around during the week but finished up in all centres with the Cardings indicator up 9¢ in Fremantle, 25¢ in Sydney & 7¢ Melbourne.
A larger offering of 47,446 bales came forward this week, however, the pass-in rate was the lowest it has been since the last week of January this year, with just 6.4% of the original offering passed-in. This resulted in 44,396 bales clearing to the trade, 8,302 more than last week, lifting the average weekly bales sold for the season to date to 33,421. The weekly average bales sold for the 2019/20 season was 27,137.
This week on Mecardo, Andrew Woods took a look at the average curves and discounts for wool compared to the longer term. The longer-term five-year averages for low staple strength discounts are appreciably higher than in the current market. It is a similar story for the discounts for 50 and 60 mm. Merino pieces, with a vegetable fault of 4%, tend to be discounted at similar levels to 55 mm fleece, a feature evident in the five-year averages and current market.
The week ahead….
Next week there is another large offering, with 48,245 bales listed for sale across the three principal selling centres. Melbourne, Sydney and Fremantle will all sell on Tuesday & Wednesday. Based on the clearance and strength of this week’s market, another positive outcome is predicted.