Cape wool market remains unchanged this week

The wool market held up well at this week’s sale despite a very large offering and the Cape Wools Merino indicator closed virtually unchanged – down a marginal 0.3% at R102.70/kg (clean). This is 17.5% higher than at the opening sale. 

There was keen competition on the auction floor between grease-wool exporters and processors and 98% of the offering of 13 600 bales was sold.

The rand had little influence on the market and at R8.82; it was 0.7% stronger against the dollar compared with last week’s average rate. At R11.40, it had lost 0.4% on average of its value against the euro.

A fresh seasonal high was posted when a bale of 15.4 microns belonging to N.C. Pringle from Adelaide fetched a greasy wool price of R120.00/kg. The previous record was R112.45/kg. Prices for long fleece wool were mixed.

Major buyers were Modiano SA (3 891 bales), Standard Wool SA (3 566 bales), Lempriere SA (2 685 bales) and Stucken & Co (1 886 bales).

The average clean prices for the different categories good top-making (MF5), long fleeces were as follows: 18 microns gained 1.6% to R118.55/kg, 18.5 microns were down 2.5% at R114.57/kg, 19 microns were 1.9% dearer to close at R111.09/kg, 19.5 microns dropped 0.7% to R107.40/kg, 20 microns were down a marginal 0.2% at R104.18/kg, 20.5 microns softened 1.5% to R102.02/kg, 21 microns were unchanged at R102.56/kg, 21.5 microns rose 2.5% to close at R101.63/kg, and 22 microns were up 1% to close at R101.38/kg. 

Approximately 17 600 bales will be offered at next week’s sale, which will be the last sale before the Christmas recess.