The Australian wool market recorded falls across the board this week, in tandem with a large rise in the Aussie dollar. AWEX reported that the offering this week was ‘slightly better’ than last week, with strong buyer attention to types with AWEX Style 4 or better although this did not translate to higher prices than last week.
The Eastern Market Indicator (EMI) has fallen 24ȼ this week to close at 1,384ȼ. As mentioned, the Australian dollar surged up 1.7ȼ on last week to US$0.7491 which actually pushed the EMI in US dollar terms up 7ȼ to 1037ȼ.
The Western Market Indicator (WMI) also fell in Aussie dollar terms, down 22ȼ to finish the week at 1424ȼ. All indicators fell in WA between 21 & 35 cents.
Over in the east and all indicators were weaker than last week. Microns 22 & finer recorded ranging from 22 to 46 cents.
Crossbred wools didn’t fall as much with prices down between 7 & 17 cents, except for the 26 MPG in Melbourne which fell 43ȼ. Cardings in Sydney fell 24ȼ, 9ȼ in Melbourne & 27ȼ in Fremantle.
The national offering has continued it’s recent downward trend to 45,149 bales this week. The national pass-in rate was significantly lower, with AWI reporting that there has been a trend of growers holding onto their wool for better prices. 16.9% of the offering was passed-in resulting in 37,501 bales sold, the lowest amount since the week before Christmas ’21.
This week on Mecardo Andrew Woods took another look at RWS accredited wool premiums cycles concluding that in cents per kg terms the broader micron categories are receiving higher premiums than the finer micron categories. Andrew followed up this article with a look at premiums being achieved for not only RWS accredited wool but also other quality systems such as SustainaWool & Authentico.
The week ahead….
Next week all centres are selling on Tuesday & Wednesday with Melbourne having an extra sale on Thursday again with 48,123 bales on offer for next week.
With the eternal battle between enterprises for farm resources continuing, it is interesting to stand back and see what has changed and what hasn’t between
Independent analysis and outlook for wool, livestock and grain markets delivered to you as it’s published
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In this report for LiveCorp and MLA, we analysed the historical trends in the demographics of the Australian sheep flock, examining domestic factors that influence farm-level enterprise decision making.
We don’t just bring you the most up to date market insights. Find out more about Mecardo’s services including risk management advisory, modelling, benchmarking, research & consultancy.
Caution in the market
The Eastern Market Indicator (EMI) has fallen 24ȼ this week to close at 1,384ȼ. As mentioned, the Australian dollar surged up 1.7ȼ on last week to US$0.7491 which actually pushed the EMI in US dollar terms up 7ȼ to 1037ȼ.
The Western Market Indicator (WMI) also fell in Aussie dollar terms, down 22ȼ to finish the week at 1424ȼ. All indicators fell in WA between 21 & 35 cents.
Over in the east and all indicators were weaker than last week. Microns 22 & finer recorded ranging from 22 to 46 cents.
Crossbred wools didn’t fall as much with prices down between 7 & 17 cents, except for the 26 MPG in Melbourne which fell 43ȼ. Cardings in Sydney fell 24ȼ, 9ȼ in Melbourne & 27ȼ in Fremantle.
The national offering has continued it’s recent downward trend to 45,149 bales this week. The national pass-in rate was significantly lower, with AWI reporting that there has been a trend of growers holding onto their wool for better prices. 16.9% of the offering was passed-in resulting in 37,501 bales sold, the lowest amount since the week before Christmas ’21.
This week on Mecardo Andrew Woods took another look at RWS accredited wool premiums cycles concluding that in cents per kg terms the broader micron categories are receiving higher premiums than the finer micron categories. Andrew followed up this article with a look at premiums being achieved for not only RWS accredited wool but also other quality systems such as SustainaWool & Authentico.
The week ahead….
Next week all centres are selling on Tuesday & Wednesday with Melbourne having an extra sale on Thursday again with 48,123 bales on offer for next week.
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Data sources: AWEX, AWI, Mecardo
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History of the Southern hemisphere sheep flock
The recent AWPFC forecast for wool production to be down to levels of the early 1920s (and 2019) warrants a look at what has been
Wool production changes across Australia’s sheep regions
With the eternal battle between enterprises for farm resources continuing, it is interesting to stand back and see what has changed and what hasn’t between
More of the same for wool
Compared to last week it was a similar offering, same pass-in rate, and limited market moves. The wool market delivered again on its 2024 theme
Lower volumes and finer wools
Change in wool supply is always an issue with regard to the relative price of wool of varying quality (be that breed, micron, staple length,
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Independent analysis and outlook for wool, livestock and grain markets delivered to you as it’s published
Listen to the podcast
Join the Mecardo team for the Commodity Conversations podcast, where we provide short weekly market recaps and longer conversations with guests to discuss the drivers and trends in livestock, grain and fibre markets.
Research: Analysis of the Australian sheep flock
In this report for LiveCorp and MLA, we analysed the historical trends in the demographics of the Australian sheep flock, examining domestic factors that influence farm-level enterprise decision making.
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We don’t just bring you the most up to date market insights. Find out more about Mecardo’s services including risk management advisory, modelling, benchmarking, research & consultancy.