ONLINE wool demand again followed the fortunes of the physical auction markets last week, with limited enquiry on AuctionPlus’ Wooltrade system.

Wooltrade market operations supervisor Tom Rookyard said the physical wool market fell in the last sales for the 2016/17 financial year.

He said on Wednesday the market tumbled throughout the day to fall by 25 cents/kg clean for the AWEX Eastern Market Indicator to close at 1508c/kg. On Thursday the fall slowed considerably with the EMI only losing 1 cent to 1507c/kg. The West Australian indicator lost 9 cents and then 6 cents to close off the financial year at 1552 cents.

“Online, the softening market saw limited buyer activity online on AuctionsPlus with 24 bales sold, with 23 of these selling on Friday to close out the week,” Mr Rookyard said.

The top-price line on Wooltrade was a single bale of 12.4 micron Merino fleece classed as EXFINESUPAAAM that sold for 1585c/kg greasy, or 2338c/kg clean. The lot yielded 67.8 percent, with an average staple length of 62mm and a very low 0.2pc vegetable matter content. The bale was branded Karalta/M ASWGA AB/467 and was offered by Landmark Melbourne.

Mr Rookyard said there is a large offering of wool up this week, with about 50,000 bales at all three selling centres – Melbourne, Sydney and Fremantle.

“Following this, there is an estimated 37,000 bales on offer before the wool industry breaks up for three weeks in the traditional mid-year recess break.

“The question that is posed to the market is — will the volume on offer before the three-week break be enough for overseas mills or will they have to buy now?”

Source: AuctionsPlus.