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Australian Wool Market Weekly Report (WK51)

From:Nanjing woolmarket       Date:2020-06-19 16:32:05       Share:

The Australian wool market has suffered further losses this week. Fremantle did not have a sale, pushing the national quantity down. There were originally 16,819 bales rostered for sale in Sydney and Melbourne, but after 7.2% of the offering was withdrawn prior to sale, the total number of bales available to the trade fell to 15,800 bales. This was the second smallest sale since AWEX records began (1995) and only slightly higher than the smallest sale recorded two weeks ago (15,375 bales). The price reductions were driven by the continual discounting of lower yielding wools, as buyers struggled to average these types into their purchases. In contrast to this, the limited offering of higher yielding wools were highly sought after and least affected by the falling market. The individual Micron Price Guides (MPGs) in the Eastern markets fell by 11 to 71 cents, 18.0 micron and coarser most affected. Due to these falls the AWEX Eastern Market Indicator (EMI) fell by 32 cents, closing the week at 1,139 cents, a reduction of 2.8%. The EMI is now at its lowest point since 2015. Due to a slightly weaker Australian dollar, when viewed in USD terms the fall in the EMI was higher, the EMI lost 31 USc, dropping to 782 USc, a 4% decrease. The national passed in rate was 10.5%, this is 1.6% lower than last week and 6.8% lower than the current yearly average. The crossbreds also recorded falls, the crossbred MPGs dropped by 18 to 24 cents. The oddment sector was the best performing for the week, the Southern Merino Carding Indicator (MC) had the only positive movement for the series. Fremantle re-joins the selling roster next week, for the final sale of 2019/20 season and the last of this financial year. As a result the national quantity has risen, there is currently 30,240 bales on offer, with all three centres in operation.