After recording the longest run of weekly losses (eight consecutive weeks) since 2003 (when it was 10 consecutive weeks), the Australian wool market has recorded an overall positive movement, to open the 2023/24 selling season strongly.
The poor market conditions over the previous two months discouraged many sellers form the market and what is normally one of the larger sales of the season ended up being only 36,175 bales. This was 12,685 bales less than week 1 of the previous year.
The market opened with increases across all merino fleece types and descriptions and continued to slowly strengthen as the sale progressed.
The Individual Micron Price Guides (MPGs) for merino fleece in Sydney and Melbourne gained between 3 and 44 cents for the first day. In Fremantle, which was selling last, the increases were larger, the Western fleece MPGs added between 21 and 49 cents. The AWEX Eastern Market Indicator (EMI) added 14 cents for the day.
The gains seen late in the day in the West, were quickly realised when the markets opened in the East on day two, from there the market continued to climb. Across the country the MPGs added between another 1 and 51 cents.
The EMI climbed by a further 21 cents. The EMI closed the week 36 cents higher at 1,162 cents. This was the first weekly rise in the EMI since the 3 May and the largest weekly rise in the EMI since the 9 February, when the EMI gained 44 cents for the week.
All other sectors of the markets recorded positive movements, the only exceptions were an unchanged Southern 30 micron MPG and the carding indicator also in the South.
Next week is the final sale before the annual mid year three week recess. This is the last selling opportunity at auction until August.
Currently, there is expected to be 44,452 bales on offer.