Weekly Market Reports


18 December 2015

admin Macwool - Friday, December 18, 2015

WEEKLY MARKET REPORT

Week Ending 18th December, 2015

AWEX Northern Micron Indices Comparison

AWEX INDEX

This Week

S25/15

This Week

M25/15

Last Sale

S24/15

Sydney

Change

Last Year

Sydney Wk28

Sydney Yearly

Change

17

1530

1516

1514

+16

1272

+258

18

1508

1490

1490

+18

1243

+265

19

1430

1427

1415

+15

1205

+225

20

1359

1354

1342

+17

1173

+186

21

1350

1351

1333

+17

1160

+190

22

1338n

1349

1323n

+15

1144n

+194

26

1000n

983n

1000n

0

848n

+152

28

844

837

831

+13

770

+74

30

797

788

783

+14

728

+69

MC

1117

1122

1107

+10

829

+288

 MERRY CHRISTMAS & A HAPPY NEW YEAR!

Wool sales certainly did wind up on a positive note as the benchmark AWEX EMI posted a 14 cent rise to finish the year at 1265 cents (a record for end of year levels) 206 cents (19.5%) higher than 12 months ago. In US terms the market lost 5 cents to 908, just 24 cents better than a year ago. It was a strong start to the session as buyers were keen to secure wool for outstanding commitments before the 3 week recess. The pace simmered on the final day so much so that Melbourne was slightly cheaper. By week’s end gains were pretty uniform across all micron categories, 10 to 20 cents. The better types added more than these gains as they become scarcer as the season produces more wool with higher VM levels, with the “off types” closing the price gap on their more fancied counterparts - in some cases virtually no discount for colour, cott or burr.

Skirtings followed the lead of the fleece room as the < 3% VM types added 10 cents while the burrier - 5 to 10% VM - lots climbed 25 to 30 cents. A good result considering the increasing volume of these types. Cardings recovered last sale’s falls, all types in this sector 10 to 15 cents to the good as all 3 MCIs are back over 1100 cents, great levels for these types.  Crossbreds had a mixed sale as the largest volume in 12 months told on the market, 10,916 bales on offer representing over 32% of the Eastern Seaboard catalogue. Fine and broad microns were flat with the 28 to 30 micron range up by 15 cents. 

Currency fluctuations again played their part. The $AU versus the $US was in our favour by 1.5%. Most interest came from China with good support from India. An influx of L/Cs (letters of credit) over the past 3 weeks has certainly helped in filling buyers’ coffers for purchasing but nearly too late to really change their buying strategies. It finally happened! The US Federal Reserve lifted its cash rate from zero to 0.25%, the first move in 7 years. Commodities rallied as the $US rose against all global currencies on the news but subdued economic growth outside of China and, to a certain extent, the USA will be closely watched in the new year as the worsening commodity prices will weigh heavily on global economic growth and, in turn, influence exchange rates. Merry Christmas and a happy New Year to all. Wool sales recommence on Wednesday, 13th January. Let’s hope all the rivers are well and truly running by then!!

 

Ag Concepts Fwd Prices at 11 December, 2015

Micron

Date

Low

High

Micron

Date

Low

High

21

10-Feb-16

1350

1350

21

11-May-16

1340

1340

21

23-Mar-16

1350

1350

21

24-Aug-16

1300

1305

 

Main Buyers (This Week)

 

1

Techwool

5752

2

Modiano (Aust)

3722

3

Global Wool Exp.

3672

4

Fox & Lillie

3561

5

Chinatex

3106

6

Lempriere (Aust)

2685

7

Australian Merino

2304

8

Michell Aust.

1948

9

Tianyu Wool

1851

 

 

  

Eastern Market Indicators (AUD cents/kg clean)

1265 cents é 14 cents compared with 11/12/2015

Northern Market Indicators (AUD cents/kg clean)

1294 cents é 16 cents compared with 11/12/2015

AUD/USD Currency Exchange

0.7174 ê 0.0121  compared with 11/12/2015

Comments
Post has no comments.
Post a Comment





Trackback Link
http://www.macwool.com.au/BlogRetrieve.aspx?BlogID=4383&PostID=670141&A=Trackback
Trackbacks
Post has no trackbacks.