Whilst this is a disappointing result for Australian wool producers, it was not surprising that market reacted as it did as the AUD achieved a 9 month high breaking through the 75USC barrier on Wednesday.
In USC terms the EMI closed a meagre 5c lower indicating a relatively firm market basis.
The largest falls were felt in the Merino sector with negative movements from 30-50c experienced during the week, and whilst Skirtings mirrored the Fleece trend, Crossbreds felt only half the pain with downward movements from 5-15c for the week.
Cardings were quoted as 20c cheaper however the range of support did not reflect the price movement published for a number of selected lots.
The fate of this week’s 42,000 bale offering will hang on the foreign exchange relationship between the AUD and the USD and Euro.
-Marty Moses, Moses & Son, Temora