The 32nd sale of the 2018/19 wool season had 5 686 bales on offer, with only 76,5% sold. The wool market ended lower at the auction and the Cape Wools Merino Indicator decreased by 2,5% and 514 points. It closed at a value of R202,25c/kg for clean wool. The Australian EMI moved 1,2% down this week.
This week saw the rand 0,8% stronger against the American dollar and 0,7% stronger against the Euro, compared to the average rate at the previous sale. The market weakened by 1,7% in US dollar terms.
Wool market under pressure
The wool market came under pressure, following the downward trend in the Australian market and the stronger South African currency. Continued uncertainty regarding export certification and the economic trading environment in China, weighed the market down further, resulting in a low sales clearance of 76,5%. The large offering of fine micron Merino wools supported market levels, with coarse and short wools experiencing the biggest downward pressure.
The major buyers on the sale were G Modiano SA, Standard Wool SA, Tianyu 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 microns decreased by 5,8% to close at R223,35/kg.
- 18,5 microns moved down by 3,6% to close at R222,00/kg.
- 19 microns lost 3,6% to close at R215,78/kg.
- 19,5 microns weakened by 2,7% to close at R213,85/kg.
- 20 microns decreased by 1,9% to close at R212,88/kg.
- 20,5 microns lost 4,5% to close at R208,11/kg.
- 21 microns weakened by 1,3% to close at R214,41/kg.
- 21,5 microns tumbled by 2,4% to close at R210,32/kg.
- 22 microns fell 2,4% to close at R211,11/kg.
- 22,5 microns declined by 0,1% to close at R206,47/kg.
The next sale is scheduled for 29 May 2019. – Press release