Southern Aurora Markets partner Mike Avery.

“A man who does not plan long ahead will find trouble at his door.” – Confucius

FORWARD wool trading was limited this week, as the trials and tribulations of the spot auction market continued this week.

Most qualities suffered a further one and a half to two percent decline in prices with fine crossbreds bucking the trend by holding firm.

Demand remains muted at best with prompt indent orders and currency movement governing the short-term direction of the market.

Passed-in rates continue to hover at ten percent as growers reluctantly accept the lower prices.

The early month bidding on the forward market again wilted with the weight of the lacklustre spot.

Forward bidding through to December started flat to last week’s close, but withdrew as the strong Aussie dollar and cautious auction purchasing weighed on sentiment. The only forward trade this week was for the Spring of 2025 with 19 micron trading for September at 1500 cents — a 10 percent premium to closing cash of 1363 cents. Processors still have restricted hedge demand at these levels from October 2025 onwards.

It is hard to see how much will change prior to the recess in two weeks’ time. Hopefully, we will see some bid levels in the medium-term forwards to give growers some signals and opportunities.

There is an old saying “There is a time to plan, a time to act, and a time to rest; it is wise to know which is which.” Maybe now is the time to rest. The upcoming recess a time to start putting a hedge plan in place and optimistically the new season will deliver a time to act.

This week’s trade

September 2025 19 micron                                         1500 cents                        5 tonnes

Source – Southern Aurora Markets.