Prices rise in all classes of wool at sale

THE wool market traded higher this week and the Cape Wools Merino Indicator increased by 2% (319 points) to close at a value of R162.56 (clean).

On the Australian market, the EMI increased 2.2%. The Cape Wools All Wool Indicator gained 2.8%.

The wool market performed particularly well yesterday and price increases were achieved on all types offered.

There was good competition for each lot auctioned, on the back of concerns of diminishing supplies of wool.

Modiano surprised with the large quantity purchased despite strong competition.

This week saw the rand at R13.07 to the US dollar. The rand was 0.1% stronger against the dollar compared with the average rate at the previous sale.

The rand was 0.1% weaker against the euro, trading at R13.78.

The offering was 12 858 bales, of which 98.3% was sold.

Major traders were Modiano (5 401), Standard Wool SA (3 324), Lempriere SA (2 357) and Stucken & Co (1 084).

The average clean prices for the selection in the different micrometre categories for good top-making (MF5) long fleeces were: 18μm (micrometres) gained 3.3% to close at R197.61/kg; 18.5μm increased 3.4% to close at R197.75/kg; 19μm gained 3.2% to close at R183.67/kg; 19,5μm increased 2.1% to close at R173.07/kg; 20μm increased by 1.8% to close at R158.26/kg; 20.5μm moved up 1.8% to close at R149.54/kg; 21μm strengthened 1.8% to close at R146.16/kg; 21.5μm increased 1.5% to close at R143.40/kg; 22μm gained 0.7% to close at R142.86/kg and 22.5μm increased 0.5% to close at R142.90/kg.

At the next sale on March 8, about 7 733 bales will be on sale.