The Australian wool market has closed lower this week, falling for the third successive series.
After being forecast to be nearly 5,000 bales higher, and after 6.4 per cent (pc) of the offering was withdrawn prior to sale, the final amount on offer was very similar to last week, with 44,437 bales available to the trade.
This week the sales in Sydney were held at the Sydney Royal Easter Show. This was the first time the auction has been held at the Show since pre Covid. It was an excellent opportunity to showcase Australian wool auctions to the lager community.
The major downward impact on the market, was felt in the fine merino fleece types.
The individual Micron Price Guides (MPGs) for 18.5 micron and finer, fell by between 20 and 61 cents.
There was noticeable buyer interest in wool measuring between 19.5 and 21.0 micron, the downward movement in the MPGs in this range less severe, with some small increases recorded.
The AWEX Eastern Market Indicator (EMI) dropped 10 cents for the series, closing at 1,142 cents.
The EMI continues to track down for the calendar year. The EMI opened 2024 at 1,212 cents, losing 70 cents for the year, a fall of 5.8 pc.
The small reduction in the EMI highlights the stagnant nature of the market. In the twenty nine selling days of the year, the EMI has only had a double figure movement on four occasions.
For the 2023/24 season the EMI is trading higher. The EMI opened the season (July 2023) at 1,126 cents. Since then, the EMI has risen by 16 cents, a modest 1.4 pc increase.
The oddments continue to trend higher, in contrast to the rest of the market.
Strong competition pushed prices higher, the three merino Carding Indicators (MC) closed up by an average of over 6 cents.
Next week the market heads into the annual Easter recess. Sales resume week beginning Monday 8 April.
Table showing wool prices for Season 24, Week 39
Graph showing Eastern Market Indicator (EMI)
For full details of auction sales, download the reports below.
