AUSTRALIAN WEEKLY MARKET REPORT - The Schneider Group

Comment

A genuine lack of demand affected the market this week with day 1 finishing in negative territory, however the weaker currency assisted day 2 finishing the week on a firm tone with all sectors active. Unfortunately the news globally is quite negative for wool at the moment, with China consumers reluctant to spend with an ageing population and the younger generation taking on the responsibility of looking after them has taken precedent to spending on themselves. Europe remains quiet particularly for fine wool and Japan, India and Korea all moving slowly trying to seek value in the current market. Grower expectation on price is realistic as passed in and withdrawn rates this week were quite low, shows growers are willing to meet the market to move wool through the system. Clip preparation still remains a focus as we are still hearing of contaminants arriving at the mills which become very costly to fix damaged machinery.

AWEX Eastern Indicator compared with 15/03/24

Eastern Indicator

Close: 1152

Change in % -2.3

Authentico Index Values

15 Micron

Close: 3259

Change in %: -2.0

16 Micron

Close: 2150

Change in %: -2.4

17 Micron

Close: 1902

Change in %: -1.7

18 Micron

Close: 1700

Change in %: -2.5

19 Micron

Close: 1580

Change in %: -2.3

Authentico Indicator

Close: 1995

Change in %: -2.1

Forecast

Almost 50,000 bales on offer Nationally next week, just prior to the Easter recess where the industry takes a break and it might be timely with the lack of demand at the moment. Hopefully we can regroup after the recess with a much more buoyant market for the second quarter of the year. China still remains our greatest destination for greasy wool exports with a massive 85.5% exported year to date, up from 82.5% this time last year.

Auction offering – current week

Market	Sale	Offered	Sold	Passed In
North	S 38	12377	11595	6.3%
South	M 38	22367	20197	9.7%
West	F 38	9289	8415	9.4%

Auction offering – next week

Market	Sale	Sale days	Volume
North	S 39	T / W	13328
South	M 39	T / W	26292
West	F 39	T / W	10194

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