Weekly Market Reports


16th February, 2018

admin Macwool - Friday, February 16, 2018

WEEKLY MARKET REPORT

Week Ending 16th February, 2018

AWEX Northern Micron Indices Comparison

AWEX INDEX

This Week

S33/17

This Week

M33/17

Last Sale

S32/17

Sydney Change

Last Year

Sydney

Sydney Yearly Change

17

2785

2707

2815

-30

2089

+696

18

2390

2352

2428

-38

2008

+382

19

2131

2119

2165

-34

1789

+342

20

1971

1959

1999

-28

1541

+430

21

1878

1887

1893n

-15

1436

+442

22

1849n

1844n

-

-

1376n

+473

26

1111

1116n

1098n

+13

928

+183

28

793

796

791

+2

685

+108

30

590

589

603

-13

543

+47

MC

1360

1355n

1356

+4

1175n

+185

HAPPY CHINESE NEW YEAR – HOPEFULLY!!

The few records that were set in the last series for the Sydney Indicator (1909) and most fleece indicators couldn’t be maintained as the AWEX EMI gave up just 6 cents to 1812. In US$ terms the numbers appreciated by 14 cents to 1437 due the AU$ rising by over 1 cent to 79.30 against the US$. All the damage was done in the fleece sector as all MPGs lost some of last sale’s big gains. The largest fall was 17.5s, peeling off by 60 cents with all others reducing by 25 to 40 cents bar 16.5 and 21s. Their losses were 15 cents with broader microns solid.

Skirtings had a reasonable sale as the finer micron, low VM types (< 18 & 5%) looked just in sellers’ favour with the burrier lots irregular to finish a touch cheaper - growers accepting these great levels with just 14 bales unsold. After last sale’s big lift XBs were still on the buyers’ radar to record modest gains of up to 15 cents except 30 micron back by 10 cents. Cardings also looked to be in good demand as all types were solid to 10 cents better for LKS with some LMS extreme.

Most buyers took stock of the rapid elevation of the market last week to be a bit more selective with their purchases. The appreciation in the AU$ put paid to any further advancements for merino fleece types, bar lots with exactly the right specs that were solid to dearer as these wools become scarcer and lots with higher VM and mid-breaks grow in numbers and are harder to place and are receiving increased discounts. For the 2nd time since Christmas the EMI has peaked in the 1820s but unable to go any higher suggesting this may be the top level for the moment but the underlying demand factor is still outweighing supply. Latest data on retail sales of clothing in eight of the major wool consuming countries shows sales rose in 5 of those countries in 2017 from 2016. Also from the big 8 countries (US, UK, France, Italy, Germany, China, Japan & Sth Korea) consumer confidence is on the rise, at its highest level since 2000, a massive indicator that spending  will rise and clothing will be on consumers’ wish lists. As demand has increased wool exports from the 5 major exporting countries is up by 11% for the opening 6 months of this financial year, Chinese purchases are up by 16% for the same time with Italy, Czech Republic and UK to the good by 7 to 9%. As the Chinese New Year looms, price shifts should be minimal as local buyers and non Chinese mills set the pace.

Ag Concepts Fwd Prices as at 16 February, 2018

Micron

Date

Low

High

21

14-Mar-18

1840

1840

21

16-May-18

1820

1820

Main Buyers (this week)

1

Techwool

5162

2

Fox & Lillie

4029

3

Seatech Ind.

3009

4

Aust. Merino

2605

5

PJ Morris

2488

6

Endeavour 

1975

7

West Coast 

1896

8

Kathaytex (Vic)

1661

9

Modiano

984

Eastern Market Indicators (AUD cents/kg clean)

1812 cents ê 6 cents compared with 9/02/2018

Northern Market Indicators (AUD cents/kg clean)

1893 cents ê 16 cents compared with 9/02/2018

AUD/USD Currency Exchange

0.7929 é 0.0104 compared with 9/02/2018

Comments
Post has no comments.
Post a Comment





Trackback Link
http://www.macwool.com.au/BlogRetrieve.aspx?BlogID=4383&PostID=723787&A=Trackback
Trackbacks
Post has no trackbacks.