Market Summary

Wool Market Report 16 July 2010 

EMI (Eastern Market Indicator) and market Summary -

The final sale before the annual 3-week recess saw the EMI fall 12 cents to close at 876ac/kg. The fall in prices was a reflection of a strengthening AUD, combined with a softening of demand heading into the break – something which is generally common each year.

Discounts were wide-spread with Merino Fleece types copping most of the brunt, especially 18-19.5mic.

39,700 bales were on offer and the passed-in rate jumped to 15.4% - not surprising, considering the results.

**Please note the overall long-term average highlighted in each Graph.

EMI Historical Graph past 20 years (click image to view larger)EMISM

Currency trends -  

The AUD closed at 88.2 cents on the final sale day – a rise of 1.2 cents compared to the previous week. In USD terms, the Market fell just 2 cent/kg, to close at 772ac/kg.

Australain Dollar Exchange Rate graph past 20 years (click image to view larger)Aud UsdSM 

Merino Fleece -

Most Merino Fleece types received large discounts apart from 20 and 21mic.

18.0mic probably received the largest discount with some poorer styles falling up to 35ac/kg.

Large discounts applied for wools with low tensile strength and also wools with high veg matter.

17.5mic EMI Historical Graph (in cents/kg clean) past 20 years (click image to view larger)17.5micSM

19.5mic EMI Historical Graph (in cents/kg clean) past 20 years (click image to view larger)19.5micSM

21.0mic EMI Historical Graph past 20 years (click image to view larger)21.0micSM 

22.5mic EMI Historical Graph past 20 years (click image to view larger)22.5micSM

Merino Skirtings -

Skirtings wools eased slightly, but weren’t too bad overall.

Xbred Wools -

Xbred wools also eased slightly with most microns falling by approx. 5ac/kg.

28.0mic EMI Historical Graph past 20 years (click image to view larger)28.0micSM

Cardings -

The carding trend also continued this week, with heavy discounts across all types. Most carding wools fell between 15-20 cents/kg.

Merino Cardings EMI Historical Graph past 20 years (click to view larger)MCardingSM

Weekly Outlook 

Sales will re-commence 2nd week of August

At this stage very hard to predict the outlook for 3 weeks time and much will depend on currency movement and trading activity throughout this period.

Wool volume on offer will also have an impact.

Please feel welcome to visit us at both the Bendigo Sheep and Wool Show and Hamilton Sheep Vention, where all our Victorian Reps will be available for a chat.

Viterra Wool