The market opened this week on a distinctly weaker note, with AWEX reporting the Eastern Market Indicator (EMI) on Tuesday posted its lowest level since October 2020.
This was turned around on the second day with all categories improving, pushing the EMI back up to end the week just 4 cents lower on last week.
Finer types led the market down, with the 17 MPG giving up
44 & 29 ȼ/kg in Sydney & Melbourne respectively. The story was more
supportive for 18.5 to 20 MPG which were virtually unchanged in both Melbourne
& Sydney by week’s end.
The west selling last had a strong week, with all Merino
MPG’s between 17 & 50 ȼ/kg higher, lifting the Western Market Indicator
(EMI) 15 ȼ for the week. The offering of 5,580 bales in the west saw just 3.1%
passed with 5,405 bales cleared.
Again, crossbred types bucked the trend, lifting across the
week and continuing to strengthen to the sale end. 26MPG in Melbourne improved 30
ȼ to 598 ȼ/kg and 32MPG in Melbourne rose another 15ȼ to 280 ȼ/kg, the highest
point since March 2022. Cardings fell in
all centres with Sydney losing 12 ȼ, Melbourne cardings dropped 1ȼ while
Fremantle eased 14ȼ/kg.
42 465 bales were offered this week, with a similar
clearance of 39 188 to last week. The national pass-in rate was at 7.7%.
This week on Mecardo, Andrew Woods points out that wool, in
all its variations, is a textile fibre embedded in the larger apparel fibre
textile market complex.
Prices for merino (fleece) and merino cardings are following
the general trend of apparel fibres drifting downwards. Apparel fibres are
awaiting improved economic growth to allow prices to turn upwards. (read
here).
Next week
A similar volume of 42,496 bales is rostered for next week with all three centres selling on Tuesday & Wednesday. The strong finish of later sales in WA suggests the market will open with good support.
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Mixed messages
The west selling last had a strong week, with all Merino MPG’s between 17 & 50 ȼ/kg higher, lifting the Western Market Indicator (EMI) 15 ȼ for the week. The offering of 5,580 bales in the west saw just 3.1% passed with 5,405 bales cleared.
Again, crossbred types bucked the trend, lifting across the week and continuing to strengthen to the sale end. 26MPG in Melbourne improved 30 ȼ to 598 ȼ/kg and 32MPG in Melbourne rose another 15ȼ to 280 ȼ/kg, the highest point since March 2022. Cardings fell in all centres with Sydney losing 12 ȼ, Melbourne cardings dropped 1ȼ while Fremantle eased 14ȼ/kg.
42 465 bales were offered this week, with a similar clearance of 39 188 to last week. The national pass-in rate was at 7.7%.
This week on Mecardo, Andrew Woods points out that wool, in all its variations, is a textile fibre embedded in the larger apparel fibre textile market complex.
Prices for merino (fleece) and merino cardings are following the general trend of apparel fibres drifting downwards. Apparel fibres are awaiting improved economic growth to allow prices to turn upwards. (read here).
Next week
A similar volume of 42,496 bales is rostered for next week with all three centres selling on Tuesday & Wednesday. The strong finish of later sales in WA suggests the market will open with good support.
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Click on graph to expand
Click on graph to expand
Data sources: AWEX, AWI, Mecardo
Categories
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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.
MEET THE TEAM
Our team of market analysts are recognised as leaders in Australian Ag market analysis, providing invaluable insights to help you navigate the ever-changing commodity landscape.
SERVICES AND CAPABILITIES STATEMENT BROCHURE
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.