Weekly Market Reports


28 February 2014

admin Macwool - Monday, March 03, 2014

WEEKLY MARKET REPORT

Week Ending 28th February, 2014

AWEX Northern Micron Indices Comparison

AWEX INDEX

This Week

S35/13

This Week

M35/13

Last Sale

S34/13

Sydney Change

Last Year

Sydney

Sydney Yearly Change

17

1352

1316n

1339

+13

1448

-96

18

1294

1271

1283

+11

1368

-74

19

1229

1221

1231

-2

1302

-73

20

1205

1196

1196

+9

1226n

-21

21

1201

1195

1190

+11

1218n

-17

22

1191n

1193n

1179n

+12

1196n

-5

26

740n

740n

736n

+4

806n (M)

-66 (M)

28

667

670

671

-4

626n

+41

30

630

624n

624

+6

581n

+49

32

560n

559n

560n

0

492n (M)

+68

MC

815

823

810

+5

758n

+57

GOOD RIDDANCE, FEBRUARY!

A small recovery indeed as the market edged higher (albeit by just 3 cents) leaving the AWEX EMI now at 1077 and in US cent terms, 963. It was a tale of 2 markets as a good rise on the opening day, following on from last Thursday’s rise, was somewhat negated by a soft tone on the final day. The final designated Super-fine sale of the season was met with good widespread competition as 18s and finer improved by 10 to 25 cents. As styles improved in these categories so did price, with “spinners” and better style commanding premiums of 50 to 100 cents as buyers tried to sure up a quantity of good style New England and Goulburn types before too many inferior style lots hit the market due to the ongoing dry conditions.  Best auction price was 6,800 cents for a 12.9 micron lot with 6 lots accredited as “1PP” sold under private negotiation to Italy for an undisclosed price. The rest of the market finished the sale with subtle increases of about 10 cents except 18.5 to 19s just in buyers’ favour. One pleasing aspect was the lower spec types increasing in value by 15 cents on the opening day only to lose some of this ground on Thursday.

The stylish, but small skirting catalogue (4th smallest for the season) was met with keen competition as the mostly fine and low VM selection saw increases of 10 to 15 cents and, as with the fleece room, the better style lots attracted premiums of up to 100 cents. On the flip-side shorter/seedier types were irregular as discounts for lower spec lots look to be increasing.  An average of just 6% was passed in on the Eastern seaboard in this sector. Cardings rallied across all 3 selling centres as locks posted the best gains of 5 to 20 cents with some sub 17 micron lots in Sydney up to 30 cents higher. Crutchings and stains remained solid throughout the sale. With the MCI in Fremantle adding 13 cents, now at 800, we have the unique situation of all 3 centres with their carding indicators (MCI) at or above 800 cents - a great level for this sector. Crossbreds regained a little of last week’s losses as 26 and 30 micron lots posted 5 cent rises as 28s gave up that amount. Crossbreds are still making up a big percentage of the offering, 30% in Melbourne and 18% in Sydney, surely the supply of these to decrease as we move into Autumn shearing.

For so much promise talked about as far back as December that the market would go on another run (as has been the case over previous summers) it has been a big disappointment for woolgrowers - especially fine-wool growers. January started and finished virtually the same, 1132 cents, dipping to a low of 1105, whereas February has seen an almost uninterrupted decline to a low 1065 last sale, with 8 daily falls and only 2 days in the positive. Supply and wool quality will be critical factors that will dictate price direction over the next few months. We are now 52,000 bales down when compared to last year, with AWTA figures released next week for February to make interesting reading as supply dwindles to levels which has to be of growing concern to buyers. We sell late on Wednesday with a catalogue of 680 bales. How we are going to cope without Don and Sharpy, away on their fact-finding mission in China remains to be seen!

Main Buyers (This Week)

1

Techwool

5720

2

Fox & Lillie

3039

3

Chinatex (Aust)

2580

4

Lempriere (Aust)

2340

5

Tianyu Wool

2083

6

Aust. Merino Exp

2068

7

PJ Morris

1964

8

Modiano (Aust)

847

9

Michell Aust.

747

 

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

1077 cents é  3 cents compared with 21/02/2014               0.8942 é 0.0001 compared with 21/02/2014

Northern Market Indicators (AUD cents/kg clean)

1095 cents é  5 cents compared with 21/02/2014

Comments
Post has no comments.
Post a Comment





Trackback Link
http://www.macwool.com.au/BlogRetrieve.aspx?BlogID=4383&PostID=378778&A=Trackback
Trackbacks
Post has no trackbacks.