AUSTRALIAN wool prices have lifted at auctions this week despite a larger national bale offering and a strong currency.

The Australian Wool Exchange said the market performed admirably in this auction series, recording an overall rise whilst dealing with a larger than normal offering in the first week back after a one-week recess for Chinese New Year.

“Wool accumulated over the recess resulted in a national offering of 50,701 bales.

“This was the largest national offering since Jan 2023,” AWEX said.

“Many industry observers were predicting a cheaper market, with these predictions based on the national quantity and sales made during the recess.

“As is often the case the wool market defied expectations, recording overall increases across all three selling days,” AWEX said.

“On the opening day, the benchmark Eastern market indicator (EMI) rose by 4 cents, with only marginal rises apparent.

“On the second day the gains were more significant, resulting in a 12-cent increase in the EMI.”

AWEX said on the final day only Melbourne was in operation, as they required three selling days, the first three-day sale in Melbourne since April 2024 and the EMI rose a further 7 cents.

“This pushed the daily run of EMI increases to eight.

“The EMI has now only fallen on one selling day in 2026, the 28th of January, when it fell 27 cents, but worth noting, on this day it gained US27 cents,” AWEX said.

“The EMI opened the year at 1541 cents/kg clean, with the rises of this series the EMI finished the week at 1716 cents, meaning the EMI has added 175 cents this so far this calendar year, an increase of 11.4 percent.”

AWEX said the clearance rate was again high this week, showing most sellers were willing to meet the market, with just 4.1pc of the national offering passed in.

“The strongest performing sector of the series was the cardings.

“Strong demand on locks, stains and crutchings resulted in large gains.”

AWEX said this was reflected in the three Merino Carding indicators (MC) rising by an average of 70 cents across the three centres.

Healthy gains in currency environment are a positive sign – AWI

Australian Wool innovation said the Australian wool market continued its upwards trajectory adding 23 ac/kg to both the EMI and WMI over three days of sales in its return from the inaugural recess for Chinese New Year.

“The market reacted well to an increased offering of bales and an Australian dollar that remains strong.

“Notably this week’s offering is the largest since January 2023.”

AWI said healthy gains in this environment is a positive sign for the Australian wool market.

“Most micron categories recorded gains.

“Fine Merino types were strongly contested, lifting 25–30 cents, supported by continued demand for better-style, well-prepared lots.”

AWI said medium Merino wools also attracted solid support, finishing the week about 15 cents dearer on average.

“Melbourne was a standout, where medium types gained around 40 cents, highlighting particularly strong competition in that sale room.

“Crossbred wools experienced more measured rises of 5–10 cents, reflecting steadier but less aggressive demand compared to the Merino sector.”

AWI said Merino Cardings extended last week’s momentum, climbing a further 70 cents on average.

“Gains were recorded across all selling centres, with the strongest support evident in the 16-18 micron range.

“Competition remained consistent for both locks and crutchings, particularly the better-prepared, cleaner types,” AWI said.

“This continued strength suggests sustained demand from the knitwear and woollen sectors.”

AWI said the Australian dollar remained relatively firm against major currencies.

Next week there will be a national offering of 38,246 bales across all three centres, operating on a Tuesday – Wednesday schedule.

Completed forward wool trades – Southern Aurora Markets

Sources – AWEX, AWI, Southern Aurora Markets.