23 August 2019

WEEKLY MARKET REPORT

Week Ending 23rd August, 2019

AWEX Northern Micron Indices Comparison

AWEX INDEX	This Week S08/19	This Week M08/19	Last Sale S07/19	Sydney Change	Last Year Sydney	Sydney Yearly Change
17	1952	1923	2000	-48	2917	-965
18	1888	1860	1932	-44	2617	-729
19	1728	1734	1766	-38	2393	-665
20	1683	1681	1711	-28	2303	-620
21	1667n	1675	1695n	-28	2280	-613
26	-	1148n	1150n	-	1538n (M)	-390 (M)
28	870n	855	835n	+35	930n	-60
30	710n	701	743 (M)	+42 (M)	711 (M)	-10 (M)
MC	895n	930n	993	-98	1526	-631

MARKET STEADIES!

All participants were still in shock from last series’ falls and wondering what this week would bring. Showfloor chatter amongst the buyers that some business had been done on a variety of types just below current levels gave hope that the market may level out sooner rather than later. The AWEX EMI lost just 16 cents but did fall below the 1500 cent mark to 1497 - this result welcomed as good news after last week’s carnage. Fine microns bore the brunt of losses, < 19 micron 40/50 cents with broader types 20 to 30 cheaper with the odd superior style wool and NM type dearer. One sector that did advance was skirtings, 40 to 50 cents higher, just 10% passed-in. Crossbreds also reversed last sale’s collapse adding 25 to 45 cents. Cardings took the largest hit of any sector with the 2 MCIs on the east coast averaging 94 cent losses as LKS/LMS lost 100 to 200 cents while CRT/STN gave up 50 to 60 cents. The overall pass-in rate fell to 16%, a drop of 20% compared to the previous sale with 16% also withdrawn resulting in a third of the wool available at the start of the sale not sold.

This week’s sentiment was vastly improved when compared to the fortnight before, with a very cautious tone. The demand for wool has fallen sharply due to lack of confidence and partly to blame is the devaluation of the Chinese Yuan (CNY). One US$ buys over 7 yuan compared to 6.8 yuan in July. All the other external problems in the Northern Hemisphere are still well and truly in play and this week Germany announced that its economy is slowing as is Britain’s (they’re yet to admit it). Trouble is also brewing in SA as wool sales have been suspended indefinitely as frustrations re the requirements of current export certification of greasy wool into China were conveyed and the ensuing implications for buyers and growers. Auctions will resume ASAP when clarity is obtained regarding export certification requirements of greasy wool into China.

We still have spots available if you want to attend the Sheep Welfare Seminar on Tuesday. Please reply to the office by Monday on 6884 1004 or email admin@macwool.com.au.

Ag Concepts Fwd Prices as at 23 August, 2019

Micron	Date	Low	High
21	25-Sep-19	1660	1680
21	13-Nov-19	1650	1650

Free knitted woollen jumpers for poddy lambs. Call into our office in Dubbo or Macdonald Rural at Brewarrina and take as many as you need. Many colours and styles to choose from!

Main Buyers (This Week)

1
Tianyu Wool
2588

2
Fox & Lillie
2533

3

Aust. Merino

2515

4
Techwool
2330

5
Endeavour Wool
1985

6

G Schneider

1235

Eastern Market Indicators (AUD cents/kg clean)

1497 cents ê 16 cents compared with 16/08/2019

Northern Market Indicators (AUD cents/kg clean)

1521 cents ê 17 cent compared with 16/08/2019

AUD/USD Currency Exchange

0.6783 ê 0.0001 compared with 16/08/2019

Comments (0) | Trackbacks (0) | Permalink

Weekly Market Reports

23 August 2019

Comments

Post a Comment

Recent Posts

Tags

Archive