Wool prices tracking the firming trend (New Zealand)

The small offering of approximately 6,300 bales at the combined North and South Island wool auction saw an 85 percent clearance with an overall firmer market. Compared to the last sale on 9th June the weighted indicator for the main trading currencies was down 1.26 percent which assisted the local market strength.

The combination of restricted season volumes, the slightly easier NZ dollar particularly to the US dollar and a steady flow of customer enquiry is resulting in the NZ wool prices tracking the firming trend also being experienced in the other wool producing markets.

This week’s sale saw the Mid Micron fleece finer than 29 micron firm to 2 percent dearer and a nominal offering of the coarser types between 29.5 and 31.5 micron, 1 to 2 percent cheaper. Fine Crossbred fleece ranged from 1 to 4 percent stronger with the Fine Crossbred shears firm to 1.5 percent dearer.

Coarse carpet type fleece were firm to 2 percent stronger. Long Coarse shears, mainly available in the South Island and 2 to 4 inch shears were up to 2 percent dearer with the shorter types slightly easier.

Long Lambs gained by 2 percent, however the coarse shorter lambs were firm to 2 percent down.

A nominal offering of long oddments saw the good styles ease by up to 3 percent with the poorer styles strengthening by up to 3 percent. Shorter oddments were firm to 1 percent stronger.

Good competition with Australasia, China, India and the United Kingdom principals, supported by Western Europe and the Middle East.