Weekly Market Report
Mark Dyson, Managing Director
Market hit by high AUD
9 September 2016
THE wool market felt the effects of a surge in the Australian dollar this week, bringing the Eastern Market Indicator (EMI) down by 15 cents per kilogram to close at 1305c/kg clean.
The Australian dollar gained US1.37 cents against the greenback, which saw the EMI actually increase by 7c/kg in US terms to 1002c/kg clean.
A total of 41,832 bales were offering to the market, which included a selection of New Zealand fleeces, with an overall 7.6 per cent.
Tuesday kicked off with the NZ offering, before the local catalogue hit the market on Wednesday and Thursday, but both followed a similar trend.
While the finer fleeces experienced only minor losses, the broader types were the hardest hit, dipping by 12-30c/kg.
The 22 micron price guide came to close at 1428c/kg, after shedding 30c/kg for the week.
Skirtings had fairly good support from buyers and subsequently the losses were minimal, while cardings tread a similar path and dipped by 4c/kg in the South.
Crossbred fleeces were again mixed in their results, with some heavy falls of up to 45c/kg in the broader end.
Next week will see a slightly smaller offering of an estimated 38,231 bales.