WEEKLY MARKET REPORT

Week ending 20^th May 2011

Northern Micron Indices Comparison: Source of information: AWEX

MARKET CONTINUES THE  RECOVERY

Another good week for the market as looming tight supplies and a relatively stable exchange rate contributed to the AWEX EMI adding 41 cents to sit at 1364 cents. Only the finer end, under 17 micron and Merino Cardings saw little movement or a cheaper trend. The EMI is fast approaching the peak of mid-March of 1388 cents with 19 to 22 micron indicators  now at their highest level and finer types not far off their peaks of the Newcastle sale held in early March. Rises of 30 to 90 cents across all indicators had buyers scurrying to secure quantity with the price gap between good lots and cotted and coloured fleece lines widening with the odd line of better style fleece up to 100 cents dearer.  It was pleasing however to see well grown bright burry wools also rally in line with the F/NF types.

 History was made on Thursday as we sold the highest price lot in Australia, Luke sold his highest priced lot ever (Don’s now envious that he didn’t attend the sale) and more than likely, the highest priced 20.3 micron ever sold at auction anywhere around the globe. This 201 kg bale made 6,200 cents greasy or 9,524 cents clean. The bale was generously purchased by Modiano Australia. The wool was sourced from rams sold by Tony and Penny Inder at their Avondale ram sale, gratefully donated by the ram buyers.  Tony shore the rams himself and all proceeds ($12,462) will go to REDEKITE, an organisation supporting children through cancer. This is held in conjunction with the Ballimore Head Shave to be held this Sunday at the Ballimore Pub. More info is at swalker@redkite.org.au or inder13@ipstarmail.com.au 

Merino skirting’s had a mixed week with lots containing low vm and little cot and colour maintaining good to dearer levels, and as has been the case for a good while, lots with heavy cot and colour easing in price.  Carding’s lost ground on both days with the MCI dropping 20 cents, the 5^th weekly drop in a row contributing to the highest pass in rate of this section of the market in 7 months. Crossbreds lifted in value with the finer end (26 to 28’s) up by 20 cents and the 30 and 32 micron indicators 10 to 15 dearer.   

In other news Don Macdonald & Co are pleased to announce that Ian Sharp (formerly Elders NSW Technical Manager) will be joining the team adding considerable knowledge and experience built from almost 40 years as a wool broker. Ian will be based at our Yennora office, valuing and auctioneering.

Don Macdonald & Co will offer 792 bales next Thursday with 33,495 to be offered nationally.

MAJOR AUCTION BUYERS (Bales)

                Eastern Market Indicators (AUD cents/kg clean)                                  AUD/USD Currency Exchange

                Eastern 1364 cents (é41) compared with 12/05/11                            1.0661 ê 0.0118 compared with 12/05/11

                Northern Market Indicators (AUD cents/kg clean)

                Northern 1429 cents (é45) compared with 12/05/11