Wool market marginally down as currency strengthens

24 Apr '09

1 min read

The market was relatively firm at this week's sale despite a stronger rand with Cape Wools' Merino indicator easing a marginal 0.7% compared with the same sale a fortnight ago to close at R46.73/kg (clean).

At R9.06, the rand was1.6% stronger against the US dollar compared with the average exchange rate at the previous sale, while it was 3.4% stronger against the euro at R11.72.

With sales taking place every second week, competition between the various sectors of the trade remains strong, lending good support to the market. A total of 11 452 bales was offered, of which 98% changed hands. Major buyers were Standard Wool SA (3 639 bales); Stucken (1 683 bales); Modiano (1 541 bales); Lempriere SA (1 443 bales), and Segard Masurel (997 bales).

Average prices for AWEX types MF4 and MF5 (70 mm) were as follows: 19 microns were down 2.7% at R61.97/kg; 20 microns gained 1.1% to R50.13/kg; 21 microns were down 2% to R47.59/kg, and 22 microns eased 2.4% to R47.65/kg.

There will be no sale next week. The next sale has been scheduled for 6 May when approximately 10 000 bales will come under the hammer.

Capewools

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