Wool report: Wool market resumes after three week recess

Photo: File
Photo: File

WEEK COMMENCING 14/1/2019

Week 28 saw the Australian wool market resume sales after the three-week recess over the Christmas period.

The week saw an increased quantity with 47,593 bales on offer and as a result of the increased quantity, the sales opened on Tuesday in Fremantle and Melbourne.

This was to ensure Melbourne would not sell in isolation on Tuesday due to the required three-day sale.

The Eastern Market indicator finished the week at 1,910c/kg after a positive week which saw an increase of 48 cents.

All the northern indicators saw rises for the week with the 17-micron indicator increased 25 cents and finished at 2,557c/kg.

The 19-micron indicator closed at 2,296c/kg after gaining 49 cents and the 21-micron indicator increased 55 cents to finish at 2,200c/kg.

Crossbreds also enjoyed increases with the 26-micron indicator for the north gaining 54 cents to finish at 1,259c/kg and the 28-micron indicator finished at 886c/kg after a rise of 31 cents.

The northern merino cardings indicator increased 33 cents and finished the week at 1,179c/kg.

It is expected the continued supply constraints for 2019 will help wool prices however quality wool is becoming harder to find.

European mills are continuing business as usual and maintain their positive outlook on the market while China has seemed to remain quiet.

The fabric market is also quiet coming out of 2018 and there is expected decreased global demand for 2019.

Week 29 will see a similarly large quantity with 53,908 bales on offer nationally.

Sydney will offer 14,349 bales and Fremantle will offer 10,955 bales across Wednesday and Thursday.

Melbourne will again have a three-day sale spanning Tuesday to Thursday offering 28,604 bales.