AUSTRALIA’S wool auction market has rebounded strongly after two consecutive weeks of losses.

The Australian Wool Exchange said 36,252 bales were offered, 3421 bales fewer than last week.

“On the opening day the market was immediately on the rise.

“Higher yielding, low vegetable matter wool and wool with favourable additional measurement results were the most highly sought after lots; however, all lots recorded increases as buyers fought for market share,” AWEX said.

“The Micron Price Guides (MPGs) for Merino fleece rose by between 3 and 88 cents for the day.

“The benchmark Eastern Market Indicator (EMI) added 20 cents after rises in the other three sectors,” AWEX said.

“Currency played a large role again in this series, this time having a positive impact.

“The fall in the AUD was so large that when viewed in US dollar (USD) terms the market retracted.”

AWEX said the EMI dropped by US7 cents for the day.

“On the second day of selling the market took off.

“This time currency played almost no part in the rises, with the increases coming as a direct result of buyer demand and by the knowledge that this would be the last buying opportunity until after the upcoming Easter recess,” AWEX said.

“The MPGs for Merino fleece rose by between 31 and 99 cents, and the EMI climbed by a healthy 42 cents for the day.

“This was the highest daily rise in the EMI since the beginning of January.”

AWEX said the EMI closed the week 62 cents higher at 1786 cents/kg clean.

“After a small increase in the AUD overnight the rise in the USD EMI was larger (In percentage terms), the EMI added US39 cents for the day, closing at US1234 cents.”

Next week is the annual Easter recess, sales will resume in the week beginning Monday the 13th of April.

Source – AWEX.