The 27th sale of the 2019/20 wool season took place recently, with 7 709 bales on offer of which 77,7% was sold. The wool market closed 3,1% (466 points) down at a value of R145,03/kg for clean wool. The Australian EMI moved 2% down this week.
This week the rand was 1,8% stronger against the US dollar and 0,8% stronger against the euro, compared with the average rate at the previous sale. The market weakened by 1,3% in US dollar terms.
Active participation from all buying houses
The wool market continued with the sale of part one of catalogue 27, consisting of 7 709 bales. Under continuing difficult trading conditions, all buying houses participated actively in the auction, with the market retracting 3,1% compared to the previous sale and achieving a 77% sales clearance.
The Australian EMI decreased by 2% this week, with added pressure on the South African market from the stronger South African currency of 1,8% against the US dollar. The offering consisted of more medium length wools, with fine long merino fleeces once again performing better than the market average, and strong short wools experiencing the most downward pressure.
The major buyers were Standard Wool SA, Lempriere SA, Modiano SA and Stucken & Co.
Average price per category
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 5,5% to close at R168,89/kg.
- 18,5 microns moved 4,1% down to close at R162,16/kg.
- 19 microns lost 4,4% to close at R156,22/kg.
- 19,5 microns weakened by 1,4% to close at R155,71/kg.
- 20 microns was 3,4% weaker to close at R147,08/kg.
- 20,5 microns lost 1,4% to close at R146,19/kg.
- 21,0 microns lost 5,8% to close at R141,85/kg.
- 21,5 microns tumbled by 3,8% to close at R149,62kg.
- 22 microns fell 6,5% to close at R133,32/kg.
- 22,5 microns decreased 2,9% to close at R141,52/kg. – Press release, Cape Wools SA