Weekly Market Report
Mark Dyson, Managing Director
2019/20 season starts on positive note
5 July 2019
With the industry keen to see what tone would be evident in the first sale of the new season, the Australian wool market has started 2019/20 with a very welcome positive result.
On a national offering of 30,994 bales (a reduction of 12,889 bales compared to the opening sale of 2018/19), the Eastern Market Indicator (EMI) added eight cents for the week to close at 1,723 cents per kilogram and while the increase in the EMI may have been small, the importance of the rise was large as the long run of previous losses was finally brought to a halt.
Although the EMI recorded a small five cent loss on the first day of selling, the overall tone of the market was positive, with the market showing strong signs of improvement.
With the Fremantle sale recording upward movements late on day one, the same positive sentiment was quickly realised in the Eastern centres on day two.
The individual Merino Micron Price Guides (MPGs) generally rose by 10 – 30 cents for the day, pushing the EMI up by 13 cents.
Next week is the last sale before the three-week mid-year recess, with there currently being 34,831 bales rostered for sale in Sydney, Melbourne and Fremantle.