Sheep

Wow, what a week in wool. Triple-digit gains across fine Merino categories drove the Eastern Market Indicator (EMI) up 109 cents to 1,453 c/kg clean. That’s the largest weekly rise in six years. With just 29,248 bales sold and almost complete clearances in Sydney and Fremantle, and with a national pass-in rate of 1.8%, the underlying tight supply picture is driving prices

In Sydney, the 17 MPG lifted by 193¢ to 2,070¢, and the 18 MPG rose by 178¢ to 1,965¢, with clearance rates above 99%. Melbourne saw the 16.5 MPG climb 189¢ to 2,132¢ and the 19 MPG add 130¢ to 1,759¢, with fine, stylish types drawing particular demand.

Fremantle’s broader categories were also well supported, with the WMI rising to 1577c/kg clean, driven by rises across the board. The 20 MPG was up 114¢ to 1,684¢, the 21 MPG adding 122¢ to 1,670¢, and the 22 MPG rising 105¢ to 1,640¢, while crossbreds surged, with the 28 MPG up 75¢ to 685¢. Merino cardings added between 6–16¢ across the three centres, rounding out a week of strong, broad-based gains.

This week in Mecardo, Andrew Woods examined the Argentine wool clip (see article here). He noted that in greasy terms, the clip amounted to around 7% of the Australian clip. When compared only to the Australian non-mulesed offering, however, Argentina’s supply became far more significant, particularly in the 19–22 micron range. He also highlighted Argentina’s tendency to carry higher stock levels than Australia, a factor that shapes both export flows and price dynamics.

 

Next week

Next week, there are 35,260 bales rostered nationally, with Sydney and Fremantle to sell on Tuesday, 30 September and Melbourne across Tuesday and Wednesday. With the market now at its highest level since June 2022, and momentum stretching to 18 consecutive selling days, the question is whether demand can maintain this level pace as volumes increase.

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Click on graph to expand

Click on graph to expand

Click on graph to expand

Data sources: AWEX,, Mecardo

Have any questions or comments?

We love to hear from you!
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