Weekly Market Report
Mark Dyson, Managing Director
Market on trend
22 March 2019
Continuing the recent trend, our wool market recorded overall losses for the fourth consecutive week in M38.
Overall, the Eastern Market Indicator (EMI) fell by 16 cents for the week to close at 1,963 cents per kilogram clean although with the strengthening of the Australian dollar (as 71.62 USC), when viewed in US dollar terms the EMI rose by 5 cents.
While a continually diminishing supply of good style wool attracted excellent competition and as a result recorded minimal losses, a large part of the offering was lower style types, many of which also possessed poor additional measurement results.
The result was the continued discounting of these types as the series progressed, and by sales end the prices being achieved on these lower style types was generally 20 – 40 cents below those achieved at the previous week’s sale.
The skirting market behaved similarly to the fleece, with better style lots with less than 3.0 per cent VM keenly sought after and only 20 – 30 cents easier.
Buyers were less keen on the lesser style wools and lots carrying in excess of 5.0 per cent VM, and as a result these types fell by 50 – 80 cents.
The crossbreds defied the trend of the other sectors, managing to record small gains for the series, generally between 10 – 20 cents.
Next week’s national offering consists of 38,950 bales, with 21,133 on offer in Melbourne.