Wool EMI heading North again
- By: "Farm Tender" News
- Ag Tech News
- Oct 12, 2018
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By Mark Dyson, Quality Wool
The Australian dollar holding stable at mid-70 US cents assisted the wool market to find solid gains this week.
The Eastern Market Indicator (EMI), which had retracted some 102c/kg over the past three weeks, increased by 31c/kg to finish at 2023 cents per kilogram clean.
The positive turnaround was felt from the outset of selling, with the demand to fill orders resulting in gains of 15 – 67c/kg clean for the 18 – 25 micron categories, while the fine 16 – 17 micron categories struggled at times easing by 10 – 16c/kg.
The second day’s trading resulted in further gains across the Merino categories of 5 – 35c/kg clean, with the fine wool types recouping some of the first day losses.
Strong buyer demand was seen for the higher yielding, better measuring types with wools measuring above 40n/kt being well rewarded.
Low strength wools and those expressing high mid-break received less buyer support, particularly in the fine wool Merino types.
Skirtings were marginally dearer on the previous week, the lower fault types attracting keenest competition.
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The broader crossbred sector above 30 micron found good support, with these types up to 39c/kg clean dearer, while the finer 26 – 28 micron types reduced in value by some 20 – 25c/kg clean on the previous week.
The carding wools types continued to ease with locks and crutchings back 10 – 30c/kg clean, resulting in the Merino Carding Indicator retreating by 28c/kg to finish at 1410c/kg clean.
Next week’s national wool offering increases to an expected 37,664 bales, with the Melbourne wool centre hosting over 55 per cent of this total.
It’s interesting to note that national first-hand wool bale offerings for the season are still to date 13 per cent below the levels of this time last year, as we now head into a period of time which is normally peak supply.
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