Eastern Market Indicator Eclipses Record
December 8, 2017
Week 23 was the penultimate sale of the year, leaving only two buying weeks before the three-week Christmas recess. With the opportunity to fill orders diminishing quickly, buyer interest intensified.
All types and descriptions across the entire merino spectrum enjoyed increases in price as buyers fought hard to secure market share. Wools possessing favorable length and strength results continued to attract the greatest competition. However, even lots with poorer numbers managed to achieve similar gains in this week’s sale. The Benchmark Eastern Market Indicator gained 23 cents to close at 1699 Australian cents. This has pushed the EMI 10 cents above the record of 1689 cents achieved in Week 20.
Growers are continuing to show willingness to sell at these levels. The clearance rate was again high – in this case more than 97 percent of merino fleece wool was sold to the trade.
The skirting market also moved further into positive territory. Following a very similar pattern to the fleece, prices were continually pushed upward as buyers tried to secure quantity heading into the break. Main interest focused on low vegetable matter, well measured wools. However, all wools felt the effect of the rising market. The crossbred sector has managed to reverse its downward trend with solid gains. General increases of 20 to 55 cents provided welcome news to growers of these broader types. The better prepared lines attracted the greatest buyer interest and as a result enjoyed the largest increases.