Weekly Market Reports


7 June 2019

admin Macwool - Friday, June 07, 2019

WEEKLY MARKET REPORT 

Week Ending 7th June, 2019

 AWEX Northern Micron Indices Comparison

AWEX INDEX

This Week

S49/18

This Week

M49/18

Last Sale

S48/18

Sydney

Change

Last Year

Sydney

Sydney Yearly

Change

17.5

2345

2271

2388

-43

2693

-348

18

2318

2253

2361

-43

2519

-201

19

2193

2192

2211

-18

2271

-78

20

2179

2186

2197

-18

2256

-77

21

2174n

2184

2214 (M)

-30 (M)

2254

-80

22

-

2156n

2175 (M)

-25 (M)

2242n (M)

-86 (M)

28

1115n

1121

1125n

-10

1020n

+95

30

-

939n

935 (M)

+4 (M)

698 (M)

+241 (M)

MC

1021

992n

1036

-15

1479n

-458

MARKET CONTINUES ON ROLLER COASTER RIDE!!

The fickle nature of the wool market was no more evident than this week as, after a good recovery last series, the lack of any further sales with very little business written saw the market give up half of last week’s gains. The EMI fell by 23 cents to 1864 with little movement in the EMI in US$ terms (-7) to 1299 as the A$ ascended to a high point of 70 cents following the RBA’s announcement on Tuesday that saw interest rates cut to 1.25% and another cut sooner rather than later to try and stimulate the economy. All sectors of the market fell. Merino fleece indicators lost 20 to 45 cents with only the high yielding, low VM types with good AM results unaffected or even up to 20 cents higher with the inferior wools on the receiving end of large discounts (one dominant topmaker not competing on < 55% yield fleece wools). Skirtings took a battering as losses ranged from 40 to 60 cents. Crossbreds lost 10 to 30 cents depending on micron while in the Carding sector LKS and STN gave up 10 to 30 cents while CRT escaped the carnage as the MCI in Melbourne fell below 1000 cents to 992. Cardings have been belted since last September’s peak when the 3 centres averaged 1583, a fall of 567 cents to this sale’s average of 1016, a 36% fall.

Why the sudden change of sentiment?? That is anyone’s guess. Most traders were reporting that all the enquiry and new business for last sale was just that, a one week peak and back to a stalemate. The two biggest Chinese indent buyers were still virtually inactive with the slack taken up by their 2 largest topmakers and a few mills were reluctant to commit orders for this week’s sale with only 21,700 on offer. Also on the horizon, literally, is wool arriving from South Africa (10,000 to 15,000 bales) into China following the FMD embargo being lifted and a slight glut of wool to be processed there. Next sale has 29,000 bales on offer which might convince the fence-sitters to re-enter the market confident that the wool they need to buy is available. AWTA reports May testing figures are 17% less than May last year and progressive figures for the season are 11% behind the previous season - 302 mkg compared to 339 mkg.

Free knitted woollen jumpers for poddy lambs. Call into our office and take as many as you need.

Many colours and styles to choose from.

Ag Concepts Fwd Prices as at 7 June, 2019

Micron

Date

Low

High

21

11-Sep-19

2080

2120

21 27-Nov-19 2075 2075

Main Buyers (This Week)

1

Tianyu

2457

2

Fox & Lillie

2050

3

Techwool

1862

4

Aust. Merino

1848

5

Michell Aust.

1370

6

United Wool Co.

1300

Eastern Market Indicators (AUD cents/kg clean)

1864 cents ê 23 cents compared with 31/05/2019

Northern Market Indicators (AUD cents/kg clean)

1883 cents ê 26 cent compared with 31/05/2019

   AUD/USD Currency Exchange

0.6971 é 0.0046 compared with 31/05/2019

Comments
Post has no comments.
Post a Comment





Trackback Link
http://www.macwool.com.au/BlogRetrieve.aspx?BlogID=4383&PostID=738905&A=Trackback
Trackbacks
Post has no trackbacks.