The Australian Wool Market Continues Roller Coaster Ride
March 9, 2018
After the Benchmark Eastern Market Indicator (EMI) posted a new high in the previous sale, and many individual Micron Price Guides also posted new records, this week has seen the market suffer corrections.
Nationally, there were 45,536 bales offered to the trade, a slight increase in quantity compared to Week 35. Price reductions were felt from the outset and by the end of the sale, prices were generally reduced by 40 to 80 cents. It was the wools carrying impurities and those exhibiting poor length and strength results, that were the hardest hit, in many cases over 100 cents cheaper. Inversely, wools with very low mid breaks were highly sought after and sold at levels very similar to the previous sale.
The EMI fell by 52 cents, closing the week at 1778 cents. The skirting market followed a similar trend to the fleece. Losses were felt right across the board, generally between 30 and 70 cents, wools with favourable length and strength results, or those carrying less than 3.0% vegetable matter, least affected. The crossbred sector defied the trend of the merinos and generally managed to record rises for the week.
25.0 to 28.0 micron posted solid gains of between 10 and 30 cents, the better prepared lines enjoying the largest price increases. 30.0 micron and coarser were par to 5 cents easier. The oddment sector continued its downward trend. Locks, stains and crutchings experienced general reductions of 20 to 30 cents, which was reflected in the three carding indicators dropping by an average of 23 cents.
A limited selection of lambs was highly irregular but tending cheaper. Next week sees a decrease in quantity. Currently, there is 43,894 bales on offer in Sydney, Melbourne and Fremantle.