AUSTRALIAN WEEKLY MARKET REPORT

Comment

The market has performed exceptionally well under the pressure of the largest two week offering in more than a decade. The selection was extremely variable with a diverse range of environmental conditions conducive for variable wool qualities. From New Zealand we had the last of the catalogues to be offered in Melbourne for this season. On the other end of the scale, we had a large offering of medium to broader merino types from Western NSW and Queensland that were very well grown but containing more vegetable matter. Staple length in excess of 100mm is standard this year, this limits the supply for most European customers. In essence, there was something for everyone and not enough of any particular type of wool to provide an over-supply. As a result, the market traded within a narrow range. The better specification, lower VM types, are attracting the greatest competition as they are in small supply.

AWEX Eastern Indicator compared with 17/02/2022

Eastern Indicator

Close: 1364

Change in % -0.7

Authentico Index Values

15 Micron

Close: 3689

Change in %: -0.5

16 Micron

Close: 2983

Change in %: -2.1

17 Micron

Close: 2645

Change in %: -0.5

18 Micron

Close: 2227

Change in %: -2.0

19 Micron

Close: 1908

Change in %:  +0.3

Authentico Indicator

Close: 2618

Change in %: -1.2

Forecast

Next week we have the last of the nominated superfine sales to be offered for the season with a small selection in Sydney. Most of this fine wool will be from the New England region. This will be the last opportunity, in any volume, to secure good fine wool until August or September. The offering after this week is expected to be dominated by longer staple length and high VM types. This is a result of the wet spring that we experienced in 2022.

Next week we will have a slight change to the roster. Sydney will sell Wednesday and Thursday, Fremantle on Tuesday and Wednesday, and Melbourne over all three days. We have the third consecutive week with over 50,000 bales offered. Growers are prepared to hold wool that doesn’t reach their price expectations. This helps to stabilise the market with 13% of the wool offered last week remaining unsold.

Auction offering – current week

Market	Sale	Offered	Sold	Passed In
North	S 34	13313	12203	8.3%
South	M 34	26825	23259	13.5%
West	F 34	9320	7658	17.8%

Auction offering – next week

Market	Sale	Sale days	Volume
North	S 35	W / T	12811
South	M 35	T / W / T	30375
West	F 35	T / W	10014

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