Volatility hits wool market with EMI shedding 51 cents

EMI drops 51 cents as wool demand weakens again

Wool
REVERSE SWING: The Eastern Market Indicator dropped 51 cents today as wool's recent price recovery went into reverse.

REVERSE SWING: The Eastern Market Indicator dropped 51 cents today as wool's recent price recovery went into reverse.

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The recent welcome rise in the wool market came to a sudden halt at today's sales.

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The wool price gains of the past three weeks came to a shuddering halt today when the benchmark Eastern Market Indicator shed 51 cents to finish the day on 1558 cents a kilogram clean.

Sydney suffered the biggest fall with the Northern Indicator sliding by 54c to end the day on 1581c.

AWEX said weaker buyer demand affected all micron categories with 19.6pc of the offering of 4904 bales failing to meet vendor reserves .

Wool 19 micron and broader eased by 60-70c across all types and descriptions.

Down south the Melbourne market opened cautiously with early reductions across all microns of 40-50c.

Strong seller resistance continued throughout the sale with the pass-in rate starting at 23 per cent and closing at 35pc on an offering of 9861 bales.

The day closed with the averages for all micron price guides falling by 65-70c.

The Southern Indicator lost 49c to end on 1544c.

Over in the west the softer tone evident at the end of last week's Fremantle sale continued with the Western Indicator losing 37c to close at 1665.

The bulk of the offering was between 18.5 and 21.5 micron which generally lost 30-40c.

The falls were met with firm seller resistance with almost 35pc of the fleece passed in, AWEX said.

In the previous three weeks the market had clawed back 244c of the 379c a kg it shed during a horror August.

Almost 22,0000 bales are rostered for tomorrow's sales.

The story Volatility hits wool market with EMI shedding 51 cents first appeared on Farm Online.

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