The wool market traded lower at this week’s auction and the Cape Wools Merino Indicator decreased by 5,6% and by 1,362 points to close at a value of R229,28/kg for clean wool. The Australian EMI lost 2,8% this week. The Cape Wools All Wool Indicator declined by 5,6%.
The wool market traded lower for a second auction in a row and has now receded by 10% from its seasonal high of 25,382 points. The strengthening Rand and sluggish demand resulted in a clearance of only 95% of a small offering. Prices decreased across the board with only the long and finer wool able to hold onto some of their recent gains.
Modiano bought the most bales at the auction today.
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 decreased 6,2% to close at R274,62/kg
- 18,5 microns moved 5,2% down to close at R262,33/kg
- 19,0 microns lost 6,8% to close at R254,02/kg
- 19,5 microns weakened by 5,1% to close at R249,11/kg
- 20,0 microns was 6,9% weaker to close at R237,83/kg
- 20,5 microns lost 6,5% to close at R233,93/kg
- 21,0 microns lost 5,2% to close at R235,95/kg
- 21,5 microns decreased by 5,9% to close at R229,33/kg
- 22,0 microns decreased by 8,0% to close at 227,33/kg
- 22,5 microns declined by 6,7% to close at R234,51/kg
The next sale is scheduled for 03 October 2018 where approximately 7 450 bales will be on sale. – Market Report