AUSTRALIAN WEEKLY MARKET REPORT - The Schneider Group

Comment

The market followed on from last week’s strong finish with all description from 17.0 micron to 32.0 micron stronger over the week. The strongest gains were on the more traditional “European types” for 17.0 to 18.5 micron. The Australian dollar continues to slide against the USD, maybe not helping the market as much as we would expect. There was definitely a shift in buyer optimism with competition on all types and descriptions better than we’ve seen in recent weeks.

AWEX Eastern Indicator compared with 07/10/2022

Eastern Indicator

Close: 1271

Change in % +2.91

Authentico Index Values

15 Micron

Close: 3464

Change in %: unchanged

16 Micron

Close: 2898

Change in %: -2.85

17 Micron

Close: 2584

Change in %: +0.58

18 Micron

Close: 2145

Change in %: +0.23

19 Micron

Close: 1745

Change in %: +0.63

Authentico Indicator

Close: 2519

Change in %: -0.39

Forecast

There is still a little caution in the market but despite that, prices were stronger. Trade activity was still buoyant later this week, pointing to a healthy start to the market next week, pending any major changes on currency exchange rates. We typically get a market bounce at this time of the year and that would be keeping the attention of most. Fluctuations in foreign exchange markets and a poor market outlook for the domestic market in China are enough to maintain some caution. But still, prices were positive this week. Something we haven’t seen for more than a month. This is reflected in a significant shift in the passed in rate this week. The merino fleece passed in rates were as low as 2.2% for the week in both Fremantle and Sydney. Growers have consistently shown that they are far more willing to sell into a positive market and this is helping market stability.

Auction offering – current week

Market	Sale	Offered	Sold	Passed In
North	S 15	9246	8901	3.7%
South	M 15	15714	14895	5.2%
West	F 15	6063	5887	2.9%

Auction offering – next week

Market	Sale	Sale days	Volume
North	S 16	T – W	9113
South	M 16	T – W	21746
West	F 16	T – W	6263

If you want to see the complete Wool Sales Roster click here.