The Western Market Indicator (WMI), returning after a scheduled non-sale week, surged 45 cents to close at 2,170 ac/kg. The Australian dollar weakened by 1.65 US cents over the selling week, boosting the purchasing power of offshore buyers. However, benchmark indicators declined in US dollar terms, with the EMI easing 22 US cents to 1,385 usc/kg and the WMI slipping 4 US cents to 1,519 usc/kg.
The Australian wool market extended its rally, with the EMI rising 15 cents to 1,979 ac/kg, its highest since October 2018 and just 21 cents below the 2,000 ac/kg mark.
Broad-based gains across Merinos, crossbreds and cardings, supported by a weaker Australian dollar and tightening supply, boosted buyer confidence.
Limited offerings and lower auction volumes are expected to support prices.
Price gains were recorded across most wool types. Fine Merino fleece wools (16.5-19 micron) added 20-25 cents, while medium Merinos (19.5-21 micron) led the market with increases of 35-40 cents. Crossbred wool (25-32 micron) rose by 10-15 cents, and Merino cardings improved by 25-30 cents.
The broad participation across wool categories suggests the rally is being supported by wider market fundamentals rather than demand concentrated in fine Merinos alone. Strength in medium Merinos, crossbreds and cardings points to improving buyer confidence.
Supply conditions also remained supportive. This week’s offering was the smallest three-centre roster since 2020, highlighting tightening availability. With Fremantle absent from next week’s selling programme, national volumes are expected to decline further, keeping supply constraints firmly in focus.
Sydney and Melbourne will host sales next Tuesday and Wednesday, with 21,720 bales currently scheduled for auction.
Fibre2Fashion News Desk (CG)
