Price levels seem to have been trading within a more stable range in recent weeks. There are market anomalies that both buyers and sellers are trying to come to terms with. On one side, demand must be affected by the higher price levels and customers are more likely to buy only as needed for prompt delivery. On the other hand, supply reductions continue to upwardly impact on local prices. We have realised a reduction in auction offerings this season by around 13.0% and ongoing concerns relate to supply into 2019. Of extra interest is lambing percentages this spring. This will impact supply into this period next year with spring 2018 lambing numbers not making an impact on production until this time in 2019 and beyond. The seasonal conditions remain at a critical point. Some recent rain has given some hope but follow up falls are needed as we move quickly into what is expected to be another hot dry summer. If it wasn’t for current wool prices, we are of the opinion that sheep numbers would be falling at a significant rate. Wool growers are more likely to try to hang onto stock while prices remain at these levels.