AUSTRALIAN WEEKLY MARKET REPORT

Comment

The wool market closed the week in positive territory with good activity on high quality, low vm fleece and skirting wool which was in keen demand. Good demand from local processors in China again activated the market at the close. We are hearing of quiet optimism starting to emerge out of Europe which is very encouraging. The Authentico indicators bounced around a bit throughout the week,   closing in positive territory 2% above last week with the focus clearly on NM/CM. A small volume of RWS accredited wool was sold with healthy incentives to the Chinese sector. Despite the A$ being 19% higher than this time last year we still see a healthy market due to Chinese participation during the first and second quarters of this year.

 

 

AWEX Eastern Indicator compared with 30/04/2021

Eastern Indicator

Close: 1306

Change in % -0.98

If you want to learn more about AWEX indicators, visit the official website http://www.awex.com.au

Authentico Index Values

15 Micron

Close: 3360

Change in %:  +2.40

16 Micron

Close: 2915

Change in %: +5.0

17 Micron

Close: 2370

Change in %: -0.83

18 Micron

Close: 2030

Change in %: -0.97

19 Micron

Close: 1705

Change in %: -2.0

Authentico Indicator

Close: 2409

Change in %: +0.85

Forecast

The large national offering of 46,000 bales currently rostered for sale next week is likely to put some pressure on the general market. However, those better specification wools with low VM and, in particular, those with the NM status, will still be keenly sought after. The general offering is quite high in VM and this is making it more difficult for buyers to average much of the offering into orders that must average VM 1.0%.

Auction offering – current week

Market          Sale         Offered        Sold       Passed In

North                      S 46                  13600                   12241                10.0%

South                     M 46                 26850                   23520               12.4%

West                       F 46                   9321                      8047                13.7%

Auction offering – next week

Market          Sale          Sale days          Volume

North                      S 47                     T-W                         13332

South                     M 47                     T-W                         24872

West                       F 47                      T-W                          7725

 

If you want to see the complete Wool Sales Roster click here.

EASTERN AUSTRALIAN MARKET REPORT

Better market tone with improved competition.

COMMENT

Buyers keenly competing on good types, particularly fleece wool 19.5 micron and broader with low VM.

FLEECE

19.0 micron and finer fully firm

19.5 micron and broader 1% dearer with light fault most affected.

SKIRTINGS

Good skirtings very firm

OPEN TOP

All descriptions firm

SCHNEIDER NZ MARKET REPORT

Summary

Market continues to soften.

Comment

North Island only selling today with 5,800 bales on offer.  The selection consisted of 25% crossbred fleece mainly average style, 3/5″ to 4/6″, 20% lambs good to average style, 35% early shorn/second shear, bulk 3″ good style, 15% oddments average/inferior style and 5% miscellaneous types.

A continued softer tone today with the bulk of the offering in favour of the buyer.  The exception again being good colour shears and fleece wool which were fully firm.  Europe and Sub Continent main, with support from Australasian carpet mills and China.

Fleece Wools

Good colour crossbred fleece fully firm.

Average style fleece buyers favour.

Second Shears

Good colour shears fully firm.

Lambs

Lambs 2% cheaper.

Oddments

Crossbred oddments all descriptions firm to buyers favour.

Passings

11% Passed In.

Next Auction

South Island offering 8,900 bales 20 May 2021.

FREMANTLE MARKET REPORT

COMMENT

Fleece firm to 5 cents dearer, skirtings unchanged, and fine open tops 10-15 cents dearer.

FLEECES.

The fleece market was generally firm to 5 cents dearer across all microns today. Again best style, low vm lots were highly sought after and attracting bigger premiums.

The passed-in rate for fleece was 22.5%.

SKIRTINGS

Skirtings finished the day unchanged.

OPEN TOP

18.5u and finer open tops were 15-20 cents dearer while broader microns were unchanged.

 

 

EASTERN AUSTRALIAN MARKET REPORT

Better specification, light fault types firm. Others a little cheaper in a large offering.

COMMENT

Good clearance rate despite the larger volumes being offered. High VM wool due to better than average seasonal conditions under some pressure.

FLEECE

Best FNF 18.5 micron Firm.

Good / Ave style par to 1% easier.

All descriptions 19 broader generally buyers favor.

SKIRTINGS

Better descriptions 18.5 micron and finer unchanged. All others, particularly the more faulty types, were up to 1% easier.

OPEN TOP

all descriptions par to 1% easier.

EASTERN AUSTRALIAN MARKET REPORT

Better specification, light fault types firm. Others a little cheaper in a large offering.

COMMENT

Australian dollar remains strong against the USD. Higher passed in rate overall but the clearance rate for NM declared lots appears better than the average.

FLEECE

All 16.5 micron and finer remain keenly sought after and tending dearer in limited supply.

17.0/21.5 better specification with light fault fully firm, others 0.5% easier.

SKIRTINGS

Better descriptions 18.0 micron and finer unchanged. All others, particularly the more faulty types, were up to 1% easier.

OPEN TOP

Unchanged.

SCHNEIDER NZ MARKET REPORT

Summary

Market easier.

Comment

South Island only selling today with 9,000 bales on offer.  The selection consisted of 35% crossbred fleece mainly average style, 3/5″ to 4/6″, 25% lambs mainly good to average style, 15% early shorn/second shear, bulk 3″ good style, 5% mid micron fleece 23.0 to 28.0 micron, 15% oddments average/inferior style and 5% miscellaneous types.

A more dovish tone today with the bulk of the offering in favour of the buyer.  The exception to this was good colour shears which were very firm.  Europe and Sub Continent main, with support from Australasian carpet mills and China.

Fleece Wools

Good colour crossbred fleece 4% cheaper.

Average style fleece buyers favour.

Second Shears

Good colour shears firm.

Lambs

Finer lambs 5% cheaper.

Oddments

Crossbred oddments all descriptions buyers favour.

Passings

22% Passed In.

Next Auction

North Island offering 5,500 bales 13 May 2021.

AUSTRALIAN WEEKLY MARKET REPORT

Comment

We are still seeing large national offerings. As the market settled a little this week, the passed in rate and the rate in which wool was withdrawn prior to sale increased. This time last week 48,000 bales were expected to go under the hammer, in the end only 40,000 were sold. The biggest passed in percentage is in the crossbred section where prices remain low as supply increases and demand for crossbred wool is poor. We are noticing a big difference in the price offered on the crossbreds that have been well prepared compared to those that are just ‘thrown’ together without effort to maintain quality.

Despite the national indicators easing, the Authentico indicators were slightly more positive in comparison as they focus more on quality fine fleece wool and those with NM and CM mulesing status only.

AWEX Eastern Indicator compared with 30/04/2021

Eastern Indicator

Close: 1319

Change in % -1.71

If you want to learn more about AWEX indicators, visit the official website http://www.awex.com.au

Authentico Index Values

15 Micron

Close: 3280

Change in %:  +2.92

16 Micron

Close: 2775

Change in %: +1.91

17 Micron

Close: 2390

Change in %: -0.5

18 Micron

Close: 2051

Change in %: UNCH

19 Micron

Close: 1740

Change in %: -2.14

Authentico Indicator

Close: 2389

Change in %: +0.5

Forecast

The large national offering of 54,000 bales currently rostered for sale next week is likely to put some pressure on the general market. However, those better specification wools with low VM and, in particular, those with the NM status, will still be keenly sought after. The general offering is quite high in VM and this is making it more difficult for buyers to average much of the offering into orders that must average VM 1.0%.

Auction offering – current week

Market          Sale         Offered        Sold       Passed In

North                      S 45                  13570                   12309                9.3%

South                     M 45                 23881                   20091               15.9%

West                       F 45                   10107                    7903                21.8%

Auction offering – next week

Market          Sale          Sale days          Volume

North                      S 46                     T-W                             14096

South                     M 46                   T-W-T                           30196

West                       F 46                      T-W                             10460

 

If you want to see the complete Wool Sales Roster click here.

FREMANTLE MARKET REPORT

COMMENT

Fleece 20 cents cheaper, and skirtings 10c cheaper, and open tops 25-30 cents cheaper.

FLEECES.

The fleece market closed a further 20 cents lower today. While all types were lower today, it was again the lower yielding, poorer spec wools that were most affected.

The passed-in rate for fleece was very high at 41.7%.

SKIRTINGS

Skirtings finished the day around 10 cents cheaper.

OPEN TOP

Open tops were generally 25-30 cents cheaper today. The exception was 18.5u which saw strong demand and finished 30-40 cents dearer.

 

 

EASTERN AUSTRALIAN MARKET REPORT

Market finding it difficult to absorb poor style offering with higher VM content.

COMMENT

Fine and better style wool still keenly sought in limited selection.

FLEECE

15.5 micron remains extreme and very keenly sought after particularly RWS.

16.0 / 19.5 micron better specification were 1% easier, while those more inferior were 1 to 2% easier

20.0 / 21.5 micron par to slightly easier

SKIRTINGS

All descriptions generally 1-2% easier.

OPEN TOP

All descriptions 19.5 and finer 1-2% easier