Weekly Market Report
Mark Dyson, Managing Director
Wool back above 1600c/kg
27 September 2019
The Australian wool market has recorded price rises for the third consecutive week, with large increases apparent from the fall of the first hammer.
The AWEX Eastern Market Indicator (ATM) added 67 cents for the week to close at 1,609 cents per kilogram clean, meaning over the past three week the EMI has now clawed back 244 cents of the 379 cents it lost in August.
With that in mind sellers were keen to accept the increased prices, resulting in a national passed in rate of only 7.6%.
Main buyer interest on day one in the Eastern centres was in the 18.5 micron and coarser range, resulting in the individual Micron Price Guides (MPGs) of these wools rising by 60 – 90 cents.
In the West, which sold last, the rise in the same MPGs was 90 – 100 cents and on the back of these increases, the EMI rose by 61 cents for the day.
The second selling day was more subdued, with only marginal increases recorded and the EMI rising by a further six cents.
It’s worth noting however that the fleece market noticeably softened toward the end of the week, with the Western region recording falls of 30 – 70 cents on the final day.
The skirtings followed a similar path to the fleece, with strong competition pushing prices up by 40 – 70 cents.
Next week’s national offering has increased considerably as a result of the price rises, with there currently being 40,999 bales rostered in Sydney, Melbourne and Fremantle.