Home / Knowledge / News / Textiles / Fall in US exchange rate hits AWEX wool indicator

Fall in US exchange rate hits AWEX wool indicator

28
May '12
Australian Wool Industries Secretariat Inc (AWIS) releases wool sale report for the week ending May 25. The Australian Wool Exchange (AWEX) Regional Indicators finished 1.4% lower, on average, at sales in Sydney, Melbourne and Fremantle this week when the US exchange rate fell by 2%. The change in the Eastern Market Indicator (EMI) in US currency was -3.5%.

This week's market opened in a similar environment to last week, with low global economic confidence, soft demand and falling prices in US currency that were cushioned by a further devaluation of the US exchange rate. There continues to be significant quantities of cotted and discoloured wool.

The sales opened on Wednesday with an easing across all Merino micron ranges apart from 16.5 micron area in the South, where some good wool was on offer. The greater fall in the WMI included a “catch up” amount for the fall in the East on the previous Thursday when there was no sale in the West.

There was a further easing on Thursday this week, except again for the 16.5 micron wools in Melbourne. There were also some small gains in the 17.0 and 17.5 Micron Price Guides (MPGs) that were not replicated in Sydney. The overall falls were not so evenly distributed on Thursday, with the 18.5 to 20 micron wools most affected.

Crossbred wools, on average eased by similar amounts to Merino wools. Pass-in rates were less than last week, but were still high by comparison with earlier weeks.

The Eastern Market Indicator (EMI) and WMI followed the pattern of recent weeks, with the spot values less than in the same week last year (-280¢ and -209¢ respectively), but with the season averages higher than last year (by 106¢ and 132¢, respectively).

In other countries, the Cape Wools Indicator was down by 2.5% while Rand by 5.7%; and the Wool Services International fine crossbred (33 - 35 microns) and coarse crossbred (36 – 39 microns) Indicators were up by 2 to 4.5 % in New Zealand. Among other fibres, July futures for cotton were down by 5.6% from last week to close at 73.62 US¢ on Friday.

33,273 bales were on offer, compared with 39,578 bales last week. 18.1% were passed in, comprised of 17.5% in Sydney, 15.4% in Melbourne and 27.4% in Fremantle. Pass-in rates for Merino fleece and skirtings were 17.6% and 28.7%, respectively. 27,265 bales were cleared to the trade.

The year-to-date offering is 54,103 bales less (-3.0%) than at the end of the same week last year. The year-on-year difference will move back to around -2% over the next three sales if the expected volumes for sale eventuate. The forecast volumes are 21.8% above the same period last.

The difference will be partly due to the lower volumes this time last year as growers had already rushed wool onto the market to take advantage of the very good prices. It may also be partly due to growers reacting to the current global and wool market circumstances. The greater volumes will create additional pressure in the current market.


Must ReadView All

Pic: Shutterstock

Textiles | On 24th Jul 2021

5.2 lakh Zimbabwean homes to gain from Pfumvudza cotton inputs scheme

At least 520,000 households in the marginalised zones of Zimbabwe...

Pic: Lanzatech

Textiles | On 24th Jul 2021

US' LanzaTech, Lululemon to make yarn from recycled carbon emissions

LanzaTech has joined hands with Lululemon athletica, an athletic...

Pic: HOdo Group

Apparel/Garments | On 24th Jul 2021

Chinese apparel firm HOdo exports carbon-offset clothing

Apparel brand HOdo has claimed producing and exporting China’s first...

Interviews View All

Textile Industry, Head honchos

Textile Industry
Head honchos

Fabric selection & recommendation based on client's brief

Textile Industry, Head honchos

Textile Industry
Head honchos

Strongly believe in 'people first' policy.

Textile Industry, Head honchos

Textile Industry
Head honchos

Marry with brand ethos

Yawer Ali Shah,

Yawer Ali Shah

Synthetic colours and dyes were all the rage till the very first ban on...

Raiyan Islam,

Raiyan Islam

Founded in 1981 by Sayeeful Islam, Concorde Garments Group is a market...

Andrea Pelissero,

Andrea Pelissero

Located near Milan, Italy, and with 50 years of experience in the textile...

Brad Holschuh, Wearable Technology Lab, University of Minnesota

Brad Holschuh
Wearable Technology Lab, University of Minnesota

A new study led by researchers at the University of Minnesota's Design of...

Shaan Sethi, Jaanuu

Shaan Sethi
Jaanuu

Jaanuu, a vertically integrated e-commerce company, has reimagined the...

Ian Russell, Pireta

Ian Russell
Pireta

UK-based Pireta has developed a unique free-form process to add durable,...

Ruma Devi, Gramin Vikas Evam Chetna Sansthan

Ruma Devi
Gramin Vikas Evam Chetna Sansthan

Ruma Devi is a jet-setting promoter of artisans who has empowered...

Aprajita Toor, Aprajita Toor

Aprajita Toor
Aprajita Toor

The creations by Aprajita Toor were born out of a deep desire to create...

Niti Singhal, Twee In One

Niti Singhal
Twee In One

Best known for convertible clothing, Indian brand Twee In One by designer...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

Leave your Comments


July 2021

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.


Advanced Search