Wk 18 3/11/2016. The AWEX EMI closed the week at 1,303c peeling 28c off last week’s (16 month high) levels. The larger national offering of 47,220 bales meant that buyers could be more selective and spreading the basis between the best and average style and measurement.
Falls across the Merino MPG’s were between 20-40c with lots finer that 19 finding slightly more support. This trend flowed over into the skirting sector posting 20-40c losses for the week. Crossbreds have been on a slippery price slide for some weeks now and the results this week were really disappointing. Losses of up to 60c were posted for the week whilst the average fall was around 30c for the fine Crossbred sectors and coarser micron categories.
AWTA Ltd has released their YTD figures which highlights that 110.8 mkg (million kilograms) have been sampled this season compared with 114.9 mkg for the equivalent period last season representing a 4.4% drop in bales sampled, conversely the AWEX YTD bales sold report (though Auction sales in Australia) indicates an increase of 19,297 bales (+3.4%). The conflicting figure may indicate more bales are being traded through the auctions in Australia.
Next week’s offering of 51,109 bales has been assembled for Australia and I believe will pose further questions of the real demand for wool, especially the average and lower style lots. ~ Marty Moses