WOOL REPORT: for the week ending Friday 21st November 2003
Auctions
The Australian Eastern Market Indicator put on three cents on Tuesday, added another two cents on Wednesday before easing three cents on Thursday. The EMI thus closed the week up two cents at 781 A cents. "The Australian market firmed this week after 10 successive declines during which the Wool Exchange’s Eastern Market Indicator has shed 16%. The Australian dollar has gained 12% against the US dollar in this time. The better tone owed much to business for China and the need to meet shipping commitments for pre-Christmas delivery. 90% of the offering was sold. There are three more sales before the Christmas recess." WRWMR
In New Zealand the stronger currency caused prices to ease again. The Fine Indicator was reported down 43 on a fortnight ago. The Medium Indicator gained seven cents to move to 574 NZ cents. The Strong Indicator lost three to end at 396 NZ cents. 25% of the 13,683 bales were passed-in.
"The Cape Wools Indicator eased by 0.3% sparking hope that the market may be bottoming out." The Cape Wools Overall Merino Indicator lost eight cents (0.3%) dropping from 2,882 SA cents to 2,874 SA cents.
Currencies
This week the Australian dollar was trading at around A$2.35/£. The New Zealand dollar was trading at around NZ$2.66/£. "The Australian dollar traded above 72 US cents this week, a six year high. To the pain of European weavers exporting to USA, the euro hit an all-time high against the US dollar." WRWMR
FWG Agency
Speciality scouring enquiry for high yielding, low vegetable matter wool was received this week. Significant combing demand continues albeit reflecting current global price levels.
All additional new season supplies of Falkland wool, would be welcomed by our speciality customers.
Many thanks for all the wool marketing instructions and bale specifications received to date.
With Regards
Robert
