Weekly Market Report
Mark Dyson, Managing Director
EMI continues to increase
25 May 2018
A week where the national wool offering consisted of just over 30,000 bales and trade concerns of supply volume for the coming months has resulted with further strong gains on the wool market this week.
The Australian dollar initially increasing to slightly above US76 cents on the first day’s trade before retreating to mid US75 cents by weeks end really had no bearing on the market as trade buyers looked to secure wool tonnage.
The Eastern Market Indicator increased by 40c/kg clean to finish the week out at 1983c/kg clean, surpassing the record set the previous week.
The finer merino wool microns led the way with the 16.5 – 17.5 micron types lifting by 80- 90 cents clean with the 18 – 23 micron types increasing by 45 – 71 cents clean for the week.
All merino wool categories posted good gains in values with the better measured wools and those expressing low fault receiving the strongest buyer competition.
The finer 24 -26 micron crossbred types increased between 34 – 42 cents clean with wools broader than 28 micron easing marginally and generally being in the buyers favour for the week.
A limited supply of carding wool types resulted in locks & crutchings lifting 10 -40 cents clean with the merino carding indicator increasing to 1491c/kg.
The strong gains on the spot market over the past few weeks have reflected favourably on the Winter – Spring forward contract price indicators and are well worth consideration.
Next week’s national wool offering remains at similar levels to this week with an expected 31,336 bales to go under the hammer.