AWEX wool indicator finishes 1.7% higher last week

08 Oct '12

4 min read

The US exchange rate fell sharply during the week, before appearing to settle on Thursday. The downward movement was driven by the Reserve Bank’s cut in the official Cash Rate on Tuesday and the associated cautionary remarks made by the Governor of the Reserve Bank about the immediate economic outlook. Not all analysts tipped the fall in the Cash Rate.

It was another good week for skirting types, which generally lifted in price on all three selling days. Crossbred types had a mixed week with upward movements in some Micron Price Guide (MPGs) and downward movements in others. Oddments generally had a good week, particularly locks. The average AWEX Merino Cardings Price Guide was up slightly from last week. Buyers for China were dominant this week, followed by strong support from buyers for Europe and India

Sales will be held in Newcastle, Melbourne and Fremantle next week, when 39,398 bales are currently rostered for sale. The present estimates for the following two sales (Week 16 and Week 17) are 46,945 and- 40,300 bales; an increase of 4.0% over the three sale period when compared with last year. The New Zealand Merino Company is rostered to offer 1,500 bales in Week 16.

Australian Wool Industries Secretariat Inc (AWIS)

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