Weekly Wool Market

The Australian wool market has had a rollercoaster ride this week, with both large upward and downward movements experienced in the series. From the opening lot on the first day, buyer sentiment was extremely positive, it was immediately apparent that the market was heading rapidly higher. By time the final hammer fell in the West, the individual Micron Price Guides (MPGS) across the country had risen by 110 to 153 cents. The AWEX Eastern Market Indicator added 123 cents for the day, this equated to an 11% increase. This was the second largest rise on record for the EMI, only beaten by the 130 cent gain the EMI recorded in September last year. The EMI closed the day at 1,240 cents, which was the highest the EMI has been in the current season. On the second day of selling, buyer sentiment cooled slightly, resulting in the market losing some of the large gains enjoyed on the first. The MPGS fell by 23 to 99 cents. On the back of these losses the EMI dropped by 21 cents, strong gains in the crossbreds preventing a larger fall. Despite the second day losses the EMI recorded an overall positive movement of 102 cents for the series, closing the week at 1,219 cents. As the finer microns have risen at a greater rate than the broader ones, the price differentials between microns have stretched. In the first sale of the current season, the difference between the 18.0 micron MPGS and the 21.0 micron MPGS was 215 cents, the difference between the 18.0 and 21.0 micron MPGS has now increased to 388 cents. The crossbred sector recorded the largest rises, the 26.0 and 30.0 micron MPGS rose by 18%. The 28.0 micron MPGS rose by 31%. In the both the North and South this was the largest weekly rise for the 28.0 micron MPG on record. Next week’s national offering rises to 44,004.