WEEKLY MARKET REPORT

Week Ending 17^th April, 2015

AWEX Northern Micron Indices Comparison

BETTER THAN EXPECTED START

The good soaking rain we were desperate for did fall in some parts over the Easter weekend but not in the devastated areas north and west of Coonamble - maybe this weekend. As far as the wool market is concerned it was onwards and upwards as sales recommenced after the annual Easter recess. The positive tone from the sale at the Easter Show carried on as the largest anticipated national offering loomed since Christmas (over 57,000 bales rostered). Normally this would set buyers on the back foot, too much wool to handle in the one week etc, etc. The market coped well as confidence lifted that the market would be okay as Wooltrade sales were strong late last week and into this week. We had one buyer in Melbourne book up 15 bales as he watched the AFL on Sunday afternoon! Says a lot for AFL doesn’t it!

Momentum built as the sale progressed across the 3 selling centres. All fleece indicators recorded double digit rises bar 16.5s and 17s, only up by 5 to 9 cents. All others, 17.5 to 23s, climbed 20 to 40 cents. As is the case when the market rises discounts dropped sharply or even virtually disappeared. Lots that had good specs were commanding premiums from 15 to 65 cents better than the indicators. One lot of 30 nkt beat two sound lots from the same clip from Yeoval with identical specs by 15 cents while a 20 micron lot from Cunnamulla was 45 cents better than the indicator with 2 tender lots with H1 from the same clip made “full tote” while quite a few lots up to 2.5% VM attracted little (if no) discount for the burr content.

Skirtings also benefitted from the robust buyer enquiry to add another 25 to 30 cents to their already good values. Emphasis was on the low VM types, <5%, but nothing was neglected as we had a total clearance in Room 2. The good money being paid  for low VM types looks to be flowing through to the heavy VM lots (>15%) as several lots of BLS in this VM range made 350 to 400 cents. There was a time when these would struggle to make over 100 cents.

Cardings continued to defy gravity as demand for these types knows no limit. The merino carding indicator at 971 is inching towards the previously unthought-of 1000 cent mark. Two lots of LKS from Collie made over 600 cents with a lot from Wongarbon making 990 cents clean - outstanding money. All carding types posted gains of 15 to 30 cents, short LMS fleece types (up to 60mm) making 750 to 850 cents greasy.

Crossbreds had a steadier sale than their merino counterparts but still managed 5 to 15 cent rises for the finer end, while the broader indicators were unchanged. 25 microns are now over 1000 clean while the highlight in this sector were the three lots of XB LMS wool from Wellington and Goolma that made 700 to 720 cents, 21.7 to 23 micron, 40 to 50mm, outstanding money for these types and a large XB clip mostly around 30 micron averaged over $1000 a bale.

All eyes will be on the offerings from now on as lower quantities are expected and, as the dry persists, lower quantities are inevitable. Macwool will offer 1135 bales on Thursday next week with 46,426 to be offered nationally.

Ag Concepts Fwd Prices at 17 April

Main Buyers (This Week)