The expanded catalogue placed downward pressure across most wool categories. Merino fleece prices fell between 20 and 65 Australian cents, with finer microns recording the sharpest declines, although medium micron types also weakened. Crossbred wool also came under pressure, particularly in Melbourne, where 26–28-micron indicators fell by more than 40 Australian cents. Merino cardings delivered mixed results across selling centres but were weaker overall, as declines in Melbourne and Fremantle outweighed a modest gain in Sydney.
The Australian wool market ended weaker ahead of its mid-year recess, with the benchmark EMI falling 28 Australian cents to 1,873 A¢/kg as a larger offering of 31,751 bales weighed on prices.
Merino fleece and crossbred wool declined, while a stronger Australian dollar added pressure.
Wool auctions will resume in the week beginning August 17.
Despite the softer market, well-prepared lots with better style and lower vegetable matter (VM) content continued to attract relatively stronger buyer interest, although overall purchasing remained cautious across the broader offering.
The stronger Australian dollar, which finished close to $0.70 (US), also weighed on local prices by reducing the currency advantage for overseas buyers. The smaller decline in the US-dollar EMI compared with the Australian-dollar indicator suggests that part of the local price fall was driven by exchange-rate movements rather than a similar weakening in underlying international demand.
The market will now enter a three-week mid-year recess, with auctions scheduled to resume in the week beginning August 17. Market participants will closely watch the volume and quality of wool returning to auction to assess whether prices can stabilise around current levels, AWI added.Â
Fibre2Fashion News Desk (CG)
