Week 47: 25/05/2017 The AWEX EMI closed down 27c at auction sales in Australia this week closing on 1495c for the week. Interestingly the national offering of just over 34,000 comprised of 10% of wool that had previously been passed in.
The opening day of selling saw significant falls in the 18.5 micron and finer range, generally between 25 to 50 cents. The first day gave a good indication of what was to occur on the second, with all types and descriptions suffering further price reductions, this time another 25 to 50 cents, pushing the EMI down further 17 cents.
The odd lot of high style wool exhibiting excellent test results were not as badly affected, but any wools normally receiving only small discounts quickly lost buyer support. The skirting market headed in the same direction as the fleece, with finer wools and lots carrying higher vm levels the hardest hit, in some cases dropping over 80 cents for the week. Many lots exhibiting anything over 2VM were heavily discounted as buyers looked for value in a falling market.
A very limited selection of oddments saw keen competition among the carding buyers, enabling this sector to go against the trend of the others and record small increases for the week, pushing the regional indicators up an average of 5 cents.
The crossbreds performed relatively well when compared to the merinos, with strong competition evident and most types and descriptions only easing by 5 to 10 cents.
The amount of wool coming onto the market continues to retract, currently just over 30,000 bales have been rostered for sale across the country. On speaking with the exporters it seems the small offering is being match but the lack of business on the other end. ~ Marty Moses
Market Report S47 (PDF)