A tale of two markets this week at Australian wool auctions. Merino types of all descriptions were in strong demand and witnessed healthy gains of up to 60ac/clean kg in some instances, whilst crossbred wools continued to falter for price by around 15ac under weak interest. The AWEX EMI (eastern market indicator) advanced by almost 2% or 28ac/clean kg purely on the back of the apprecia-tion of the prices within the Merino sector which saw the EMI close the week at 1550ac.
The currency advantage gained by those buying in USD (US Dollars) last week was short lived as the 2% gain was counterbalanced this week with the USD EMI lifting by the exact amount and closed at 1214usc/clean kg. The USD v AUD forex (foreign exchange) rates barely moved (just 0.24% higher) on a week to week basis so stronger interest was the key factor in the market and it was mainly Chinese (USD user) orders that drove the market along.
Click here to access AWI's Wool Weekly Market Report (PDF 983 KB)