Feeder Frenzy
Strong Queensland cattle supply hasn’t dented the market as the uplift in confidence continues. Whilst we are seeing a “Feeder Frenzy” at the yards, Processors have followed suit as YTD East Coast slaughter has grown 10% Year on Year so far in 2024. After weather interruptions last week, the saleyards in Queensland were chock full […]
Foot off the gas?
Auction volumes to begin the calendar year have been elevated but market activity on both sides looks to be easing as we approach a period of seasonal supply and demand growth. Just 8,431 bales were offered in the Northern market this week which contributed to the relatively low 7% pass-in rate. Bidding held firmer at […]
Feeders enter the fray
Whilst a week-on-week increase in supply is not a surprise as the trade returns from the break, it’s clear that the resurgence of restocker demand has motivated auction participation by those offloading cattle. East Coast yardings this week per the NLRS were reported at 56,836 head, which is 46% higher than the 5-year average for […]
2024 opens the batting with a 50K offering
A 50k bale offering greeted buyers to start the calendar year but the East Coast market absorbed the pressure of supply to end this week’s innings. Both volume and the level of variability of quality were significant on the East Coast, resulting in an overall mixed result as the week progressed. It’s fitting that on […]
Rate decision benefits sellers
The Reserve Bank’s decision to hold the cash rate was an early Christmas gift to many in Australia, but the wool market was an immediate beneficiary as auction momentum ramped up on Wednesday and Thursday. The AUD/USD exchange rate has played a critical support role for commodities this year and recent upward movement has impacted […]
Demand passes the volume test
It has been a fortunate fortnight for the Merino wool industry as market indicators and pricing continue to improve. Demand has been resilient in the face of increased, unseasonal supply. The Eastern Market Indicator (EMI) increased 19ȼ to 1170ȼ/kg and similarly in US dollar terms improved 19ȼ to US 767ȼ/kg. This was driven by improved […]
Chinese demand outweighs appreciating dollar
In the same week that US President Joe Biden and Chinese President Xi Jinping met in San Francisco at the APEC summit, US and Chinese market forces also came face to face in the Australian wool market as the Eastern Market Indicator rose 2% week on week. The fortunes of the wool market are tied […]
Turn of foot just in time
The wool market, much like many other businesses in Australia, was not firing on all cylinders after the Melbourne Cup. Wednesday’s bidding was less than ideal, dampening market sentiment. However, a Thursday turn of foot saw significant improvement across the board, helping to restore balance by the end of week. East Coast wool markets on […]
In the thick of it
From producers to exporters, the supply chain is in the thick of the Spring seasonal supply increase. Processors are working at full throttle, as total slaughter eclipsed 534,000 head last week and ramped up again this week, harvest is well underway in key cropping zones, Middle East lamb imports had their best month in October […]
Shelves clearing in Sydney
The Eastern Market indicator was unchanged this week as strong bidding for higher-quality fleece was balanced out by discounts for less-than-ideal lots. As wool supply shifts finer and the incidence of vegetable matter in fleece decreases overall in the clip, the scrutiny of buyers will become increasingly important. In Sydney, the finer end of the […]
Southern bidding strong
A mountain of mutton weighed the national indicator down this week. However, the Victorian and South Australian markets are seeing an uptick in demand despite increased supply for lighter stock. After a strong bounce in reaction to rainfall last week, the Eastern States Trade Lamb Indicator (ESTLI) has finished the week at 457¢/kg cwt, a […]
Quiet before the storm?
Welcome rain in some parts of the East Coast might cause some southern producers to roll the dice on holding onto stock. With yarding numbers down this week, producers evidently were willing to wait and see how the weather unfolded, causing mixed results in pricing. After some solid rainfall in the southern regions of the […]
