Weekly Market Reports


21 May 2021

admin Macwool - Friday, May 21, 2021

 WEEKLY MARKET REPORT

Week Ending 21st May, 2021

 AWEX Northern Micron Indices Comparison

AWEX INDEX

This Week

S47/20

This Week

M47/20

Last Sale

S46/20

Sydney

Change

Last Year

Sydney

Sydney Yearly

Change

17

2288

2301 2258
+30 1625 +663

18

1931

1926

1896

+35

1473

+458

19

1622

1620

1592

+30

1339

+283

20

1364

1355

1339

+25

1278

+86
21 1299n 1264 1274n +25 1255n +44
 26 - 744n 755n (M) -11 (M) - -

28

458n

456

459n

-1

580n

-122

MC

890n

880n

881n

+9

823n

+67

MARKET STAYS IN A HOLDING PATTERN!

Showfloor talk of a slightly dearer market was spot on as the market managed to claw back some of the previous fortnight’s losses. The firming market in Melbourne last Thursday indicated that a bit of renewed activity and enquiry was forthcoming. The reduced national catalogue by 8,000 bales (to 41,850) played into growers’ hands with the stronger A$ not adversely impacting on buyers purchasing strategies as the FRX rose by 2/3rds of a cent to 77.90 and climbing above 78 cents briefly on Wednesday night. By the numbers, the AWEX EMI added 9 cents to 1315 and 15 cents to 1023 in US$ terms. The gains for merino fleece types was even from super-fine to medium microns, 25 to 35 cents across the board. Low VM (< 2.5%) skirtings led the price recovery in Room 2 as they finished 20/40 cents higher with all other types unchanged for the week. Cardings also recovered some losses from the 2 previous series as all types were up to 20 cents to the good bar some burry LKS in the 18/19 micron range that lost 10 to 20 cents. The crossbred was erratic but the majority of types continued on their worsening trend. Lower style lots fell by another 20 to 40 cents with the odd well-prepared lot, regardless of type, exceeding valuations, in some cases by 50/100 cents making it almost impossible to value and predict with some types either totally neglected or making well above the valuation. On our day 35% of the crossbred offering was passed-in. The overall pass-in rate fell to 10%.

The continuing smaller volume of FNF (< 1% VM) fleece types saw these wools come under the most pressure and benefited from the rising market more than the higher VM lots. Fleece wool in Fremantle in some cases outperformed their Eastern states counterparts because they are offering more of these types with the good seasonal conditions here putting more VM into this year’s clip on the east coast. For 19.5 to 18 micron the MPGs in Fremantle are just ahead of the prices in Sydney and Melbourne. Chinese top-makers and indent buyers dominated all buying lists with good support from local traders and the largest European top-maker who looks to be ramping up their buying patterns with 2 exporters commenting that enquiry from Europe is on the increase.

Although auction volumes are higher than in past years the absence of South African wool sales and Fremantle going into fortnightly sales in June will keep a lid on quantity overload for the short term. The recent spike in prices was due to some uniform orders being executed by the Chinese government with more to come but the timing still an unknown. Chinese retailers are reporting a surge in consumption of Merino and Merino blend garments but many mills are still keen to export tops or early stage semi-processed garments to their long standing offshore clients. When this ramps up to pre Covid-19 levels is the million $ question. 46,000 bales are on offer next week, no change we hope!

Southern Aurora Fwd Prices

Micron

Date

Low

21

Sept. 21

1260

Main Buyers (This Week)

1

Techwool

5441

2

Endeavour Wool

3440

3

Fox & Lillie

2973

4

Tianyu Wool

2594

5

United Wool

2347

6

Lempriere

2329

Eastern Market Indicators (AUD cents/kg clean)

1315 cents ê  9 cents compared with 14/04/2021

Northern Market Indicators (AUD cents/kg clean)

1393 cents ê 16 cents compared with 14/04/2021

   AUD/USD Currency Exchange

0.7783 ê 0.0061 compared with 14/04/2021

Comments
Post has no comments.
Post a Comment





Trackback Link
http://www.macwool.com.au/BlogRetrieve.aspx?BlogID=4383&PostID=748399&A=Trackback
Trackbacks
Post has no trackbacks.