Weekly Market Reports


14 May 2021

admin Macwool - Friday, May 14, 2021

 WEEKLY MARKET REPORT

Week Ending 14th May, 2021

 AWEX Northern Micron Indices Comparison

AWEX INDEX

This Week

S46/20

This Week

M46/20

Last Sale

S45/20

Sydney

Change

Last Year

Sydney

Sydney Yearly

Change

17

2258

2270 2268
-10 1683 +575

18

1896

1896

1913

-17

1517

+379

19

1592

1592

1597

-5

1391

+201

20

1339

1346

1344

-5

1332

+7
21 1274n 1266 1277n -3 1305n -31
 26 - 755n 783 (M) -8 (M) 770n (S) -

28

459n

471

499n

-40

576 (M)

-105 (M)

MC

881n

889n

901n

-20

795n

+86

MARKET STAYS ABOVE 1300 - JUST!

The market didn’t pass the test of too much volume this sale as more losses were recorded. The weight of an anticipated 54,700 bales was a bridge too far for exporters but the market fell less than the expected losses that were widely predicted. Over the past fortnight the AWEX EMI has retreated by 36 cents after the previous 2 sales saw a combined jump of 51 cents. The EMI still sits above 1300 cents at 1306 and at 1008 in US$ terms after falling by 11 cents. This series’ losses were more subtle than severe for the merino fleece types, 18.5 micron and coarser giving back up to 10 cents along with 17s while 17.5/18 fell by 15 to 30 cents with the superfine microns in sellers’ favour. Low VM(< 3%) skirtings looked solid by week’s end with lower types that had higher VM,  cott and colour off the pace by 10 to 20 cents. Cardings continued on their downward run from last week to have all types give back 10 to 30 cents as the 2 East Coast MCIs lost 20 cents to fall below 900. Crossbreds also cheapened up this sale to the tune of 10 to 40 cents depending on micron and centre. Despite the market slightly cheaper, the pass-in rate fell by 3% to 12% as the FRX stayed relatively stable at 77.20 cents from late last week but was peaking at 78.50 early in the week as sales were being held then fell 2% on Wednesday night.

The volume movements of this week’s catalogue were certainly a talking point on the showfloor. After a 40% increase by last Friday from the week before then a drop of 2400 bales by Monday to 52,000 then the usual withdrawal rate of between 5 and 8% this left 49,000 to be offered and, with 13% passed in, just 43,600 bales actually sold to give us a 21% difference in predicted offering to what was actually sold. Why the Chinese have to get into a panic when big volumes are forecast then never come to fruition is one of the great mysteries of the wool trade!! This coming sale’s national catalogue is 46,000 bales so it will be highly likely that the sold figure by this time next week won’t reach 40,000 with most experts predicting a solid to slightly dearer market.

Even though demand is fickle at the moment the market is faring well despite the unusually high weekly offerings at this time of the year with financial restraints still well in play with the ongoing logistical problems and the profile of the selection becoming difficult to place in some orders. With most growers benefitting from a good season, this has pushed microns out by 1 to 1.5 microns broader but lifted yields by 10 to 15%, while the % of VM has and will continue to rise as we go into winter and, with the market over 50% better than the low point of 858 in September, there are still some drought-affected wools still making their way into the market which is proving difficult to place in some orders.

Southern Aurora Fwd Prices

Micron

Date

Low

21

sept. 21

1260

Main Buyers (This Week)

1

Techwool

6141

2

Endeavour Wool

3889

3

Tianyu Wool

3561

4

Fox & Lillie

3490

5

Aust. Merino

2649

6

Kathaytex

2491

Eastern Market Indicators (AUD cents/kg clean)

1306 cents ê 13 cents compared with 07/04/2021

Northern Market Indicators (AUD cents/kg clean)

1377 cents ê 16 cents compared with 07/04/2021

   AUD/USD Currency Exchange

0.7722 ê 0.0005 compared with 07/04/2021

Comments
Post has no comments.
Post a Comment





Trackback Link
http://www.macwool.com.au/BlogRetrieve.aspx?BlogID=4383&PostID=748326&A=Trackback
Trackbacks
Post has no trackbacks.