While the early sales of the one day auction (Wednesday) were solid, by the end of the day the market had retreated, with Fremantle, as the last to sell, most effected. This resulted in just 3,113 bales of the 4,508 offered in W.A. selling, with a pass-in rate of 30.9%
The pass-in rate of 23% nationally meant that of the bales offered, just 13,917 bales cleared to the trade. This was the lowest offering since June 2009. Season to date there have been 228,000 bales fewer sold, down on average 6,340 per selling week compared to last season.
The Eastern Market Indicator (EMI) lost 9 cents for the week to close at 1,292 cents. The Australian dollar was strong, lifting almost 3 cents to US$0.641, which pushed the EMI in US$ terms up 31 cents to 828 cents. The Western Market Indicator also eased losing 14 cents to close at 1,370 cents. Turnover this week was $19.67 million at $1,413 per bale, taking the year to date value to $1,728 million.
Melbourne finer Merino types all posted rises, however the EMI was dragged down by falls in the X Bred sections where falls of between 20 – 40 cents were observed. Cardings eased slightly except in Melbourne where a 30 cent fall gave back the improvement of last week.
Smallest offering since 2009
Next week
Next week all centres are selling on Tuesday & Wednesday with 31,517 bales on offer. A stronger US/Aus$ rate is not helpful, but exporters appear to have sufficient orders to cope with the reduced offerings.
Have any questions or comments?
Click on graph to expand
Click on graph to expand
Click on graph to expand
Data sources: Riemann, AWEX, Mecardo
Categories
Fine wool slips, broader types soften
The wool market edged lower this week, with the EMI falling 2¢ to 1,197¢/kg, in what proved to be a tale of three markets in
Merino and non-merino wool volumes in Australia
Wool production volumes have been under strong downward pressure during the past year as a combination of dry seasonal conditions, increased costs, and low prices
Crossbreds outshine merino in tight week
Despite early buyer interest in the reduced supply, softer demand for finer Merino weighed on the market, while the crossbreds and courser segments showed resilience.
State of origin in non-mulesed wool
Non-mulesed accreditation is a stepping stone to qualification of various quality schemes, which in turn are stepping stones to premiums in the greasy wool market
Want market insights delivered straight to your inbox?
Sign up to the mailing list to get regular updates to new analysis and market outlooks
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.