Merino fleece sees good support for best style ultra and superfine types

Published September 4, 2024

Merino Fleece saw good support for the best style ultra and superfine types with prices falling between 10- 25c, the fine medium types fell between 20-45c and surprisingly the medium coarse merino fleece types fell 20-40c.

Competition came from the large Chinese TM and Chinese Indent operators. Whilst the large Australian trading houses were noticeably quite early in the week they purchased more substantial quantities on the second day of sales. There was also increased activity noticed from an Italian Spinner chasing the “cream” of the offering.

Merino Skirtings followed the fleece with the best specified and prepared low VM skirtings continuing to attract premiums over the lesser specified, quality types with greater VM. Whilst Wednesday opening saw the price falls moderate, an increase in competition saw the prices hold on towards the close.

Crossbreds had a slightly better week than the Merino’s, with general falls of 5-10c measured over the week. Low quantities on offer in this sector are certainly aiding the price levels despite reports of waning demand. The presence of the UK processor after a prolonged absence from the sale rooms was welcomed by sellers this week.

Merino Cardings whilst the Northern MC was reported as no change for the week, the South and West MC’s fell 11c. there were certainly huge price gaps in types that fell outside exporters specifications. The Merino Carding indicator is at its lowest level in 11 years and if expressed in USD it is the lowest level in 15 years.

Commentary This week’s offering drops back to 33,830 bales with Fremantle only offering on Tuesday. The early market intelligence is indicating more of the same, with Chinese interest still very poor. We really need the AUD to relinquish some of its recent strength against the USD to give the wool market some reprieve.

~ Marty Moses.