The AWEX eastern market indicator fell by 29 cents a kilogram (clean) to end the week at 839c/kg.

The Australian Wool Industry Secretariat reports that this reflected falls of:

* 24c/kg (-2.6pc) in the north, where the indicator closed at 885c/kg;

* 34c/kg (-4.1pc) in the south, where the indicator stands at 800c/kg; and

* 30c/kg (-3.7pc) in the west, where the indicator finished the week at 790c/kg.

According to AWEX, there were 55,911 bales on offer, compared with 52,414 bales last week, of which 20.5pc were passed in.

Some 2457 bales (4.2pc) were withdrawn prior to sale, while re-offered bales made up 11.4pc of this week's offering.

The market was not helped by the wild fluctuations in the exchange rates, with the US exchange rate 3.14c lower on Monday when compared with Thursday of last week.

It was then up by 4.81c on Tuesday in response to the announcement of Federal Government's $10.4 billion fiscal stimulus program, down by 1.00c on Wednesday and by a further 3.02c on Thursday to close at 66.81c, down 2.35c (-3.4pc) since the last sale.

Prices came back for all Merino types and micron ranges as demand continues to be down.

AWIS reports that it was unfortunate that this coincided with an excellent offering of fine wools in Newcastle where the sale opened around 100c down, and more for the better types.

Average AWEX Micron Price Guides (MPGs) were down by 61c/kg clean for 16.5 microns, by 86c for 17.0 microns, by 68c for 17.5 microns, by 44c for 18.0 microns, by 41c for 18.5 microns, by 36c for 19.0 microns and by 44c for 19.5 microns.

The 20.0 micron wool average MPG was down by 29c clean, 21.0 microns by 29c, 22.0 microns by 24c, 23.0 microns by 28c, and 24.0 microns was up by 5c.

But 24 micron wools were in short supply and experienced good competition.