The wool market traded higher at this week’s auction and the Cape Wools Merino Indicator increased by 2,7% and by 566 points to close at a value of R217,80/kg for clean wool. The Australian EMI lost 1,6% this week. The Cape Wools All Wool Indicator increased 2,8%.
The wool market recouped some of its recent losses and traded stronger on the back of a weaker Rand and better demand for quality long and fine wool. This was a sizable two-day auction of which the majority of wool on offer tested fine. Seasonal deliveries to broker stores are markedly down compared to the previous season to date.
Competition between buyers was good with Modiano buying the most bales on offer. This week saw the Rand at R14,72 to the US Dollar and R16,68 to the Euro.
The average clean prices for the selection within the different micron categories for good top-making (MF5), long fleeces were as follows:
- 18,0 microns increased 2,0% to close at R245,85/kg
- 18,5 microns moved 2,7% up to close at R246,04/kg
- 19,0 microns gained 2,9% to close at R235,94/kg
- 19,5 microns strengthened by 3,0% to close at R235,25/kg
- 20,0 microns was 3,2% stronger to close at R230,15/kg
- 20,5 microns won 4,4% to close at R227,75/kg
- 21,0 microns recovered 4,2% to close at R227,40/kg
- 21,5 microns improved by 4,3% to close at R218,47/kg
- 22,0 microns increased 3,3% to close at 214,69/kg
- 22,5 microns increased by 0,6% to close at R218,11/kg
The next sale is scheduled for 7 November 2018 where approximately 9 539 bales will be on sale. – Market report