Wool benchmark's consecutive record breaking week

Moses and Son wool technical officer John Wiencke, Temora, throwing fleece with shearing the first cross ewes underway for Glen and Chris Hartwig, Cambrai Farming, "Oakbank", Trundley Hall via Temora. Picture: RACHAEL WEBB
Moses and Son wool technical officer John Wiencke, Temora, throwing fleece with shearing the first cross ewes underway for Glen and Chris Hartwig, Cambrai Farming, "Oakbank", Trundley Hall via Temora. Picture: RACHAEL WEBB

WOOL worth more than $170 million has been sold in the past fortnight as prices hit uncharted levels.

Prices have hit a record-breaking 1681 cents a kilogram.

Despite the Eastern Market Indicator catapulting a further 58 cents a kilogram week-on-week, the clearance levels were the lowest since August 2013.

During that period, only 1.3 per cent of nearly 50,000 bales were passed in.

The Australian Wool Exchange’s senior market analyst Lionel Plunkett said all types and descriptions across the entire merino spectrum were hotly contested.

Prices were spiking from 40c/kg to 100c/kg, he said. 

Buyers attempted to secure supply in the rapidly rising market, with favourable length and strength receiving strong buyer competition. 

Mr Plunkett said the passed-in rate was the lowest since August 2015.

He said this reflected the wool growers’ willingness to accept the current prices.

He said with low wool storage reported in brokers’ stores, as well as low passed-in rates, there was the expectation of a coming short supply.

“With continued high clearance rates, that additional volume of re-offered wool won’t be there to top up the offering later in the season,” Mr Plunkett said.

“It would appear sellers are meeting the market and the prices are exceeding their expectations.”

Skirtings followed suit to jump 40c/kg to 60c/kg for the week.

After many weeks being out-performed by their finer cousins, the crossbreds managed to record higher increases than the merino sector.

The entire crossbred sector, from 25.0 micron all the way through to 32.0 micron, enjoyed price rises of between 50 and 80 cents.

Limited oddment offering came under intense buyer competition.

Mr Plunkett said all types and descriptions had increased between 40 and 80 cents to push the three carding indicators up by an average of 62c/kg.​