AWEX wool indicator finishes 4.3% lower last week

12 Nov '12

4 min read

The main movement in the US exchange rate this week was an increase of 0.66¢ on Tuesday following the Reserve Bank’s decision to leave the official Cash Rate unchanged at 3.25%. There was a small short-lived downward movement on Wednesday in response to the economic concerns in the United States following President Obama’s re-election.

Skirtings very strong surge of recent weeks ended sharply this week, in line with the downward movement in prices for Merino fleece types. The Pass-In rate moved up from 5.6% last week to 36.5% on Thursday and averaged25.4% for the week. As mentioned on the previous page, crossbred wool suffered less than the Merino wool. The only exception was at 32 microns, where the average AWEX Micron Price Guide (MPG) was down by 5.2%. Oddments were mixed but were generally the best performers for the week.

Buyers for China were dominant this week, followed by strong support from buyers for Europe and India.

Sales will be held in Sydney, Melbourne and Fremantle next week, when 58,224 bales are currently rostered for sale. Present estimates for the following two sales (Weeks 21 and 22) are 50,520 and 54,400 bales, respectively; an increase of 22.7% over the three sale period when compared with last year.

Australian Wool Industries Secretariat Inc (AWIS)

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