Low orders, strong dollar soften wool market
The strong dollar, restricted off-shore interest and high volumes of one wool category on offer this week saw local prices ease.
Wool markets remain steady with the latest sale seeing increases of 1 to 2% overall, says NZWSI general manager, John Dawson.
The sale of 6,617 bales was a good result, he says, with an offering of 52% Coarse Crossbred Early Shorn and Second Shear types.
There was good demand for shorter Second Shear types 2 to 3 inch 32 to 35 micron as buyers bid to cover Chinese orders.
The trade-weighted indicator was little changed from the last wool sale on 16th July.
Compared to the South Island sale on 16th July, Fine Crossbred Early Shorn and Second Shear types 3/5 and 3/4 inch were 1% dearer.
A limited offering of Coarse Crossbred Fleece wools were up 1%. Coarse Crossbred Early Shorn and Second Shear 37 to 39 micron 3/5 to 2/4 inch were 1% dearer, while 2/3 inch were firm.
A nominal offering of Crossbred Combing Oddments were in Sellers Favour, while good colour Clothing Oddments increased by 2% with poorer colour remaining firm.
Competition was widespread with China dominating.
Next sale on 30th July comprises approximately 8,000 bales from the South Island.
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