Ag News

EMI up 58 cents clean - Bursts through 1800 cent barrier

  • By: "Prime" Ag News
  • Jan 13, 2018

By Mark Dyson - Quality Wool

On opening this week, the wool market maintained its pre-recess momentum with further gains across all Merino micron categories, as the Eastern Market Indicator (EMI) burst through the 1800 cent barrier to finish at 1818 cents per kilogram clean (an increase of 58 cents clean, representing the fourth consecutive sale week of solid increases).

The three-week Christmas break, along with a dearer Australian dollar trading at low-to-mid 78 US cents, was not enough to deter the strong competition on the Merino wool categories.

Melbourne’s opening market on Tuesday saw solid gains in the finer 16-17 micron range of 25-42 cents clean, with modest gains of 3-21 cents clean in the 18-24 micron range.

As the week progressed, values increased into new territory with further gains of 32-79 cents clean for all the Merino fleece types, with skirtings and carding types also setting a similar trend.

The final day’s trade saw the market consolidate marginally, with buyers tending to concentrate on the better-style, well-measured wools.

The crossbred wool categories didn’t enjoy the same increases as the Merino types, but did manage to make some moderate gains of 20-30 cents clean by week’s end, with the finer, better-prepared lots receiving best trade interest.

All up, it was a strong opening to 2018 with new pricing levels set across most Merino micron types.

The open market confidence has reflected onto the forward market pricing, with good indications out to April 2018.

Next week’s national wool offering consists of 54,250 bales, with the Melbourne selling centre hosting 29,659 bales.