AUSTRALIAN WEEKLY MARKET REPORT

Comment

Falling prices has placed more uncertainty in the market with many waiting for clearer signals of a steading in prices. While most types and descriptions continue to ease, many are waiting while they choose to drive down old stocks rather than to make new contracts. This would most likely create some opportunities for those willing and able to buck the trend and buy. With the significant reduction in prices, it would seem that there is now some value for those who are willing. On the other hand, growers are appearing now to be more accepting of the prices and more likely to meet the market. Passed in rates this week were lower than last week.

Wednesday’s sale did offer a more positive tone. We tended to disagree with the AWEX report for that day and felt that for straight fleece types, VM 1.0, prices did improve a little. This was aligned with the softer AUD against the USD.

17.5 micron and finer seem to be the bearing the greatest impact of this weaker market trend. The selection of those types is certainly not helping, with much of the offering simply too inferior for our better weaver clients.

AWEX Eastern Indicator compared with 16/06/23

Eastern Indicator

Close: 1139

Change in % -3.0

Authentico Index Values

15 Micron

Close: 3668

Change in %: -2.5

16 Micron

Close: 2592

Change in %: -0.6

17 Micron

Close: 2085

Change in %: -5.4

18 Micron

Close: 1762

Change in %: -6.2

19 Micron

Close: 1571

Change in %: -3.1

Authentico Indicator

Close: 2196

Change in %: -3.9

Forecast

Next week is the final sale for the financial year and the Fremantle auction will again be operational. Following that, we have the first two weeks of July with auctions prior to the annual mid-year recess. This break in sales can’t come quick enough, unfortunately. Following the better market tone to close out week 51, we do hope that we see a little more stability in the market levels leading into next week. You could also understand those who choose to wait in this period of uncertainty before making commercial decisions. And that could create some opportunity for others with prompt needs.

Auction offering – current week

Market	Sale	Offered	Sold	Passed In
North	S 51	9763	8610	11.8%
South	M 51	18721	15650	16.4%
West	F 51	no sale

Auction offering – next week

Market	Sale	Sale days	Volume
North	S 52	T / W	12533
South	M 52	T / W	23439
West	F 52	T / W	11031

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