Weekly Market Report
Mark Dyson, Managing Director
Market shows signs of recovery
6 September 2019
After a month of severe losses, the Australian Wool Market showed signs of recovery in Week 10.
While the first day of selling saw further losses and the AWEX Eastern Market Indicator (EMI) falling by 32 cents, the final hour of selling in Fremantle saw a noticeable change in the room as fierce competition started to push prices back in a positive direction.
This positive buyer sentiment carried on into the Eastern centres on the second selling day, so much so that prices finally started to increase.
The individual Micron Price Guides generally rose by 30 – 40 cents, pushing the EMI up by 22 cents to close at 1,365 cents per kilogram clean – a loss of only 10 cents for the week and in US dollar terms, an increase of 9 cents.
The carding market also recorded gains for week as a limited supply came under strong buyer demand, pushing prices up by 10 – 30 cents.
This was reflected in the three carding indicators, which rose by an average of 15 cents. The crossbreds also remained in positive territory, with the 26 – 28 micron rising by 5 – 10 cents.
Next week’s national offering is still relatively small as sellers wait for the market to recover, with there currently being 27,923 bales rostered for sale in Sydney, Melbourne and Fremantle.