Weekly Market Wrap
For the latest edition, please Refresh
frequently visited pages.
With Brian Vagg, Melbourne
May 2, 2008
Market slides on rising Aussie dollar, lower US interest rates
THE market is not being assisted by the strong Australian dollar on top of very low world economic confidence.
This week the US again reduced interest rates, which has increased pressure on the exchange rate.
It is hard to see the wool market changing direction in the next few months. All buyers are reporting difficulties in trading, which has also not been assisted by the selection.
However, they are unable to move the better types, which traditionally remain in reasonable demand.
There were more than 35,000 bales of wool traded on the futures market to Thursday, which should surely be seen as a positive.
Wool sales were held in all regions on Wednesday and Thursday this week, with only crossbred types escaping the downward trend we have been experiencing.
The Eastern Market Indicator (EMI) fell 16 cents to close at 904c per kilogram. The national pass-in rate was 21.6 per cent.
In the southern region the 17.5-micron category closed 10c/kg cheaper at 1484c/kg, the 18-micron fell 27c/kg to close at 1419c/kg, 18.5-micron fell 20c/kg to close at 1303c/kg and 19-micron fell marginally to close at 1166c/kg, which was a 3c/kg fall.
The broader types, where selection varied dramatically, experienced bigger falls, with the 19.5-micron category falling 35c/kg to close at 1031c/kg, 20-micron fell 43c/kg to close at 947c/kg, 21-micron fell 28c/kg to close at 894c/kg, 22-micron fell 8c/kg to close at 882c/kg and 23-micron drifted 7c/kg to close at 857c/kg.
Crossbred wools gained marginally on Wednesday in the south and closed with a reduction of around 5c/kg across the board. Cardings were similar to the fleece, with falls of around 20c/kg.
Next week there is a larger national offering of just on 53,000 bales.
| RECENT ISSUES |
 April 24, 2008 |
| April 18, 2008 |
| April 11, 2008 |
| April 4, 2008 |
| March 21, 2008 |
| March 14, 2008 |
| March 7, 2008 |
| February
29, 2008 |
| February
22, 2008 |
| February
15, 2008 |
| February
8, 2008 |
| February
1, 2008 |
| January
25, 2008 |
| January
18, 2008 |
| January
11, 2008 |
| December
14, 2007 |
| December
7, 2007 |
| November
30, 2007 |
| November
23, 2007 |
| November
16, 2007 |
| November
9, 2007 |
| November
2, 2007 |
| October
26, 2007 |
| October
19, 2007 |
| October
12, 2007 |
| October
5, 2007 |
|
|
