Weekly Market Reports


3 February 2017

admin Macwool - Friday, February 03, 2017

WEEKLY MARKET REPORT

Week Ending 3rd February, 2017

AWEX Northern Micron Indices Comparison

AWEX INDEX

This Week

S31/16

This Week

M31/16

Last Sale

S30/16

Sydney

Change

Last Year

Sydney

Sydney Yearly

Change

17

2038

2013

2004

+34

1550

+488

18

1971

1888

1907

+64

1531

+440

19

1752

1741

1735

+17

1439

+313

20

1549

1556

1537

+12

1384

+165

21

1438

1439n

1432

+6

1376

+62

22

1377n

1375n

1378

-1

1366n

+11

26

903

912n

919

-16

983n

-80

28

655

648

661

-6

839

-184

30

544

531

554

-10

760

-216

MC

1158n

1159

1160

-2

1150

+8

the trend continues

Another week of the split market being very apparent. Low VM, better testing wools, particularly finer than 19 micron, saw further increases and very strong support mainly from China. The positive aspect this week was a consolidation of prices for the types outside the strong demand areas of recent weeks like burry fleece types and broad merino wools. These types were heavily dominated by only a few buyers but were no cheaper than last week and it looks like they may have found a level. Certainly once the VM goes above 6% (as many of the fleece lines are) clean prices for the fleece lines are only around 100 cents better than the skirtings taken off them. Some classers are now double-skirting to remove the hind legs and there will be cases where that will pay dividends but it is a case by case scenario. With the finer clips it definitely is worth it but at the broader end it may not be the case as the hind legs themselves will test a lot broader and not attract great support.

At the finer end it was onward and upward, particularly for the well spec’d lines as choosy buyers pushed the better lines well above the indicator averages by up to 50 cents.

Whilst it is very exciting to see this demand at the finer end push prices to reasonable levels, it is by no means making new territory. A quick glance at the June, 2011, market reveals the 17 micron indicator 335 cents higher than this week and this was at a time when the Australian dollar was at 105.5 US cents!

Skirtings and merino cardings held reasonably well with minor movements either way whilst crossbreds still fail to perform and languish well behind levels of last year, particularly 28 and coarser. As mentioned in recent reports the crossbred burry oddments are at ridiculously low levels not seen in years.

Of interest to anyone dodging the heat next Sunday will be a feature on the Chinese wool market aired at noon on Landline on ABC TV.

Next week sees an increase in the offering to nearly 46,000 bales in three centres as Macwool lines up on Wednesday.

Ag Concepts Fwd Prices at 3 February 2017

Micron

Date

Low

High

19

12-Apr-17

1676

1676

21

24-May-17

1390

1390

19

14-Jun-17

1680

1680

 

Main Buyers (This Week) 

1

Techwool

6106

2

Fox & Lillie

3982

3

Lempriere (Aust)

3290

4

Aust Merino Exp.

2798

5

Modiano

2563

6

Chinatex

2548

7

Michell Aust.

1862

8

Kathaytex (Vic)

1539

9

Tianyu Wool

988

  

Eastern Market Indicators (AUD cents/kg clean)

1422 cents é 10 cents compared with 27/01//2017

Northern Market Indicators (AUD cents/kg clean)

1499 cents é 12 cents compared with 27/01/2017

AUD/USD Currency Exchange

0.7644 é 0.0101  compared with 27/01/2017

Comments
Post has no comments.
Post a Comment





Trackback Link
http://www.macwool.com.au/BlogRetrieve.aspx?BlogID=4383&PostID=699524&A=Trackback
Trackbacks
Post has no trackbacks.