Australian Wool Market Enjoys Upward Trend
October 13, 2017
The Australian Wool Market continued its upward trend this week. Following last week’s rises, buyer sentiment remained positive and prices tracked higher from the opening bell.
The biggest movers of the first day were the lower style and spec types, as buyers again tried to secure market share in the steadily rising market. Generally, prices increased by 20 to 40 cents, pushing the Benchmark Eastern Market Indicator up 10 cents to 1560 cents. Only the falling crossbred sector preventing the EMI from recording a larger increase.
More increases were realized during Thursday’s selling, although the most significant gains were experienced in 19.0 micron and finer, generally a further 15 to 20 cents. Only small increases were seen from 19.5 micron and coarser. The EMI added a further 6 cents, closing at 1566 cents, an overall rise of 16 cents for the week.
The premium for wools with low mid breaks continues to rise, as buyers fight for these increasingly rare lots. Similar type wools can bring and additional 70 cents more in price if they contain favorable mid break results. The skirting market closely tracked the fleece, most types and descriptions posting increases for the week of 20 to 40 cents. Some finer, good style and spec, low vegetable matter wools were extreme as buyers attempted to find fleece substitutes in the rapidly rising market.
As previously mentioned, the crossbred market went against the trend of other sectors again this week, all types and descriptions had general falls of 10 to 35 cents, with the poorly prepared lines suffering the greatest falls – only 32 micron managed to maintain last week’s levels. The oddment market has maintained its gradual rise upward. A limited selection attracted excellent support, resulting in the three carding indicators rising by an average of 19 cents.