AUSTRALIA’S wool auction market drifted lower this week, prompting brokers to pass in 10 percent of growers’ bales initially catalogued for sale.

The Australian Wool Exchange said the market gained ground on the first selling day, only to lose it on the second.

Brokers offered 23,486 bales nationally, 1535 fewer than last week.

“By the end of the first day, the movements in the Merino fleece Micron Price Guides (MPGs) in the eastern centres ranged between unchanged and plus 37 cents.

“The western region had a day of mixed results, the finer microns had strong rises while the coarser microns recorded losses,” AWEX said.

“Here the MPGs ranged between minus 41 and plus 49 cents.

“The benchmark Eastern Market Indicator (EMI) added 3 cents for the day, climbing to 1893 cents.”

AWEX said currency played a role in the market movements, so much so that when viewed in US dollar terms the market recorded a larger gain.

“The EMI added US17 cents for the day.

“On the second day, the market recorded general losses across all Merino types and descriptions, with the broader microns recording the largest losses and the finer microns holding up reasonably well,” AWEX said.

“This was reflected in the Merino fleece MPGs in Sydney and Melbourne, which for 17.5 micron and finer the movements ranged between unchanged and minus 7 cents.

“For 18 micron and coarser the MPGs lost between 10 and 40 cents.”

AWEX said the EMI lost 15 cents for the day, closing the day and the series at 1878 cents/kg clean, a weekly drop of 12 cents.

“The EMI fell by US9 cents for the day, closing the week US8 cents higher at US1357 cents.”

AWEX said the total dollar amount sold continues to track well above last season.

“There has been a total of $429 million sold, season to date, this is $89 million more than the previous season.”

Next week’s offering is forecast to increase. There is currently expected to be 30,185 bales on offer nationally.

European style wool in demand – AWI

Australian Wool Innovation said better ‘European-style’ 19 micron and finer fleece remained well sought after, while broader and standard topmaking types were generally cheaper.

“Traders again led buying activity, followed by processors, while the proportion of wool passed in or withdrawn increased markedly.

“The comparison with Week 11 last year remains striking,” AWI said.

“In 2025, the EMI gained 28 cents to 1319 c/kg as the market recorded its eighth consecutive weekly rise, supported by tightening supply and strengthening demand.

“This year the EMI is 559 cents higher, or 42.4pc, despite easing during the week.”

AWI said supply is also tighter: season-to-date offerings total 224,060 bales, around 9pc below the corresponding period last season.

Attention now turns to Week 12 and the 37th Nanjing Wool Market Conference, being held from 18–20 September. The conference traditionally provides an important opportunity to assess Chinese processor and trader sentiment. With the national offering forecast to rise to around 30,185 bales next week, the market will face a useful test of underlying demand immediately ahead of the conference. Further daily volatility in the current trading range can be expected, AWI said.

Sources: AWEX, AWI.