Wool finally makes positive movement

Australian wool market makes positive traction, bumping up by 47 cents

Sheep
Flying higher: The Australian wool market made some positive movement this week increasing by 47 cents to finish at 937c/kg.

Flying higher: The Australian wool market made some positive movement this week increasing by 47 cents to finish at 937c/kg.

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The wool market made some upward movement as non-mulesed wool attracts strong competition.

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The Australian wool market made some welcome positive traction this week with the Eastern Market Indicator (EMI) lifting by 47 cents to close at 937 cents per kilogram, clean.

The national pass-in rate dropped to just 5.8 per cent, indicating growers were more content to meet the healthier market.

Although high clearance rates were a major feature of this week's Australian wool market, particularly in the Merino fleece sector, style was a key factor influencing prices as the percentage of MF4 lots in the national offering rose to 25pc.

But it was the non-mulesed wool that attracted the strongest competition.

In Melbourne on Wednesday, gains of 42 to 117 cents were made with 18-micron and finer and non-mulesed lots leading the way gaining between 50 and 65c.

The pass in rate for Melbourne was 5.8pc or 1607 bales.

In Sydney, Wednesday was the better selling day with the market strengthening and finishing 38c higher at 993c/clean.

The pass in rate was six per cent with 566 bales withdrawn.

Fremantle's one-day sale on Wednesday saw significant price gains in all Merino individual micron guides (MPGs), up at least 73c increasing the western regional indicator to 884c/kg clean, an increase of 62c.

AWEX market information manager, Lionel Plunkett, said it was pleasing to see the larger offering attracting strong widespread competition.

"From the opening hammer it was immediately apparent that price increases were again on the cards," Mr Plunkett said.

"By the end of the series the MPGs across the country rose by 30 to 117 cents which pushed the EMI up by 47c, equating to a 5.3pc rise.

"This was the largest weekly rise in percentage terms since September last year."

Due to a strengthening Australian dollar, when viewed in US dollar terms the rise in the EMI was higher at US43c, an increase of 6.7pc.

The national quantity lessons next week to 25,030 bales with Fremantle again only selling on the Wednesday.

Sydney and Melbourne will sell on both days with Sydney a designated superfine sale.

The story Wool finally makes positive movement first appeared on Farm Online.

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