Wool market trades higher

PORT ELIZABETH – The wool market traded higher today and the Cape Wools Merino Indicator increased by 2,8% and by 499 points to close at a value of R182,13 (Clean). The Australian EMI increased by 2,3% this week. The Cape Wools All Wool Indicator increased by 2,3%.

The wool market closed firmer with strong trade driven by the continued good demand for quality long and fine wool. This was a smaller sized auction of which the majority of wool on offer was of medium length and tested fine. A marginally stronger Rand had little influence on the market today and the seasonal deliveries to broker stores remain lower to the previous season to date.

Competition between buyers was good with Modiano buying the most bales on offer.

This week saw the Rand at R11,98 to the US Dollar and R14,82 to the Euro. The Rand was 0,7% stronger against the US Dollar and 0,8% stronger against the Euro, compared with the average rate at the previous sale. The offering comprised of 7 437 bales of which 98,4% was sold. Major traders were Modiano (2 464), Tianyu SA (1 774), Standard Wool SA (1 545) and Lempriere SA (825).

The average clean prices for the selection within the different micron categories for good top-making (MF5), long fleeces were as follows: 18,0 microns increased 2,5% to close at R217,54/kg; 18,5 microns moved 2,6% up to close at R206,17/kg; 19 microns gained 2,4% to close at R191,06/kg; 19,5 microns strengthened by 2,9% to close at R185,71/kg; 20 microns was 2,8% stronger to close at R184,08/kg; 20,5 microns won 3,0% to close at R180,91/kg; 21,0 microns rose 2,4% to close at R180,41/kg; 21,5 microns improved by 2,3% to close at R174,28/kg; 22 microns rose 2,5% to close at R173,15/kg and 22,5 microns gained 2,5% to close at R167,94/kg.

The next sale is scheduled for 25 April 2018 where approximately ± 7 503 bales will be on sale.

 

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