Port Elizabeth - The 17th sale of the 2019/20 wool season took place today with 7 275 bales on offer of which 95,7% was sold. The wool market closed 0,5% (81 points) down at a value of R174,63 c/kg (Clean), with the Cape Wools All Wool Indicator closing 0,4% lower. The Australian EMI moved 1,8% down this week.

This week saw the Rand at 2,3% weaker against the US Dollar and 1,6% weaker against the Euro, compared with the average rate at the previous sale. The market weakened by 2,7% in US Dollar terms. The wool market performed well today, amidst the current situation in China and the extended Chinese New Year. The smaller offering of 7275 bales resulted in a one-day sale only, with the market indicator closing slightly down by 0.5%.

The Australian market started off negatively this week and recovered on the second day of the sale, to close the week 1.8% lower. Although there was cautious buying from some buyers, a very good overall sales clearance of 95.7% was achieved, with good competition for the longer Merino fleeces on offer and especially for certified sustainable lots. The market was also supported by the weakening in the SA currency by 2.3% against the US. The major buyers on todays sale were: Standard Wool SA (2 621), Lempriere SA (1 823), Modiano SA (1 812) and Stucken & Co (377).

The average clean prices for the selection within the different micron categories for good top-making (MF5), long fleeces were as follows: 18,0 microns increased 0,9% to close at R192,90/kg; 18,5 microns moved 0,6% down to close at R183,71/kg; 19 microns lost 1,4% to close at R183,16/kg; 19,5 microns strengthened by 0,4% to close at R181,64/kg; 20 microns was 0,6% stronger to close at R178,41/kg; 20,5 microns lost 0,6% to close at R175,35/kg; 21,0 microns lost 0,7% to close at R173,38/kg; 21,5 microns tumbled by 1,3% to close at R170,57/kg; 22 microns fell 0,7% to close at 172,67/kg and 22,5 microns declined by 1,1% to close at R164,78/kg.

The next sale is scheduled for 06 February 2020 where approximately ±6 427 bales.