The Eastern Market Indicator (EMI) lifted by 6¢ this week to close at 1,116¢ while the Australian dollar eased slightly to US$0.692 which influenced the EMI in USD terms to lift by a more modest 2¢ to 773¢. The Western Market Indicator picked up 9 cents from the previous sale to settle at 1,85¢.
Growers offered 30,821 bales this week, and with a reduced pass-in rate of 5.1% as a result of the firm market, 29,264 bales were sold, 4,500 more than last week.
Mecardo reported this week that if the current trend continues of growers electing to pass-in wool and hold, the available stocks including production of fresh shorn wool this year will be back near the past decade level of 2.0 million bales. Should this trend be continued total bales available for export in season 2020-21 could reach 2.4 million, a supply volume not seen since 2005-06.
This week Fine Merino types were the best performer lifting 10 to 25 cents, while 18.5 MPG and stronger improved by 5 cents.
The Crossbred sector recovered much of last weeks fall to post a 15-cent lift, while skirtings were similarly improved.
Cardings failed to catch on to the stronger market with 20 cent falls reported.
The ship steadies
Next week
Next week all centres sell with 36,712 bales on offer. This is the final sale before the winter recess. Exporters will be working hard to secure new orders for the sale resumption at a time of great uncertainty.
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Data sources: Riemann, AWEX, Mecardo
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