AUSTRALIAN WEEKLY MARKET REPORT

Comment

The market numbers certainly weren’t great reading on Tuesday but high passed in and withdrawn rates reduced the volume sold to the trade and limited any damage to a minimum. The silver lining was the competition from Italian interests on better fine wool. As we’ve often stated, the mulesing status should be considered like an insurance policy. When the Chinese demand is limited, the deeper supply chain interest for wool from farms who no longer mules is enough to help those clips through these difficult periods. It was the same when the Covid-19 pandemic first hit in 2020. It’s not always about the premium from day to day but also about consistent demand when it’s needed most, like now. The Authentico Indicators and Index Values Authentico Index Values and Authentico Indicator by The Schneider Group (gschneider.com) were less impacted this week with only minimal change.

AWEX Eastern Indicator compared with 13/08/2021

Eastern Indicator

Close: 1335

Change in % -2.7

If you want to learn more about AWEX indicators, visit the official website http://www.awex.com.au

Authentico Index Values

15 Micron

Close: 3792

Change in %:  +1.74

16 Micron

Close: 3001

Change in %: -1.09

17 Micron

Close: 2637

Change in %: -0.68

18 Micron

Close: 2238

Change in %: +0.31

19 Micron

Close: 1799

Change in %: -1.1

Authentico Indicator

Close: 2622

Change in %: -0.19

Forecast

Large volumes were again withdrawn from sale prior to auction or passed in when failing to meet the grower reserve. This is definitely helping the market. The general level of competition on Wednesday in Sydney and Melbourne was more encouraging. There were less holes in the market on Wednesday and the inferior types which often failed to get much interest on Tuesday, were getting more buyer support at this level.

Auction offering – current week

Market          Sale         Offered        Sold       Passed In

North                      S 07                  11386                  7982                29.9%

South                     M 07                  16764                13354                20.3%

West                       F 07                   4088                   1749                57.2%

Auction offering – next week

Market          Sale          Sale days          Volume

North                      S 08                      T / W                         13537

South                      M 08                     T / W                         18806

West                        F 08                       no sale

If you want to see the complete Wool Sales Roster click here.