Weekly Market Report
Mark Dyson, Managing Director
Pressure mounts from large offering
9 December 2016
An increase in wool growers looking to capitalise on a strong market saw an increase in the national offering this week.
The market didn’t respond well to the added pressure, as the Eastern Market Indicator (EMI) tumbled by 29 cents per kilogram to see 1349c/kg clean.
A total offering of 53,248 bales were offered to the market, with 12.6 per cent passed-in.
The tone was set early on in the piece, as prices took a hit from the first day of sales.
The medium to broader types were hit the hardest, with 30-45c/kg lost from the 19.5-22 micron price guides.
It wasn’t much better for finer fleeces, which were discounted by 20-44c/kg.
The 18 micron price guide dipped by 44c/kg, paring back to 1700c/kg.
Although there was also a large offering of Crossbred fleece, the sector bucked the trend and strengthened by up to 25c/kg.
Skirtings tracked Merino fleeces and dipped by 20-40c/kg, while cardings were able to keep the losses to a minimum, closing 13c/kg lower in the South.
Next week will see the final sale before the Christmas recess, with an expected 56,122 bales set to be offered to the market.