The Australian wool market has recorded an overall loss for the fifth week consecutive series, albeit by the smallest of margins.
With quantities dictating no need for a sale in the West, the national offering reduced to 33,435 bales.
The positive tone evident at the end of the previous series was on display during the opening selling day this week. By the close of the day, the Individual Micron Price Guides (MPGs) for merino fleece in Sydney and Melbourne finished between fully firm (no change) and 26 cents dearer.
With only small movements in the other sectors, the EMI managed a 3 cent rise.
On the second day the market retracted.
The movements in the merino fleece MPGs ranged between plus 4 and minus 38 cents. Again, with little change in the other sectors the EMI posted a 4 cent fall. The net result was a 1 drop in the EMI, which closed the week at 1,209 cents. The EMI is now 230 cents lower than at the same time last year, a 16.0% drop. After last Tuesday (when EMI was 1,207), the EMI is at its lowest point since January 2021, when the EMI was at 1,202 cents.
Worth noting, due to currency movements, when viewed in US dollar terms the EMI recorded a 22 US cent gain.
Although there has been an increase in the number of bales offered this season, due to consistently lower prices, the total dollar amount sold is tracking well below the previous year. At the conclusion of this series there has been 2,294 million dollars of wool sold through the auction system, this is 136 million dollars lower than the corresponding sale of the previous season.
Fremantle returns to the selling program next week, bolstering the national offering.
Currently, there is expected to be 45,325 bales on offer, with all three centres in operation.