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 Wool steadies on Thursday, but down 4.1pc for week 

Wool steadies on Thursday, but down 4.1pc for week

25 Sep, 2008 07:25 PM
The Australian wool market stabilised on Thursday, following its sharp falls earlier in the week.

The eastern market indicator (EMI) did continue to fall again on Thursday, but only marginally, and all the regional indicators held steady or near steady.

Even so, by the close of trading for the week, the EMI has fallen a total of 4.1pc, closing on on 859c/kg.

Performance of the regional indicators on Thursday was:

• Northern indicator down a further 2c/kg, to close on 906c/kg.

• Southern eased a further 1c/kg, to close the week on 819c/kg.

• Fremantle’s western indicator held steady after its earlier fall, to close the week on 822c/kg.

Fremantle did not sell on Tuesday, but lost 23c/kg on Wednesday when sales there resumed.

The national wool market copped a battering right from the opening sales of the week, with the EMI losing 30c/kg on Tuesday and a further 5c/kg on Wednesday.

However, such is the volatility and impact of the US exchange rate at the moment, that prices actually rose in US dollar terms by 16c/kg on Tuesday to US726c/kg as the $A started its comeback after slumping last week, according to AWEX.

However, in US dollar terms on Wednesday the EMI lost US8c/kg, as the dollar eased slightly on Wednesday, from US83.85c to US83.35, which is still considerably stronger than it was last week when it bottomed at US78c.

Only the finest wools escaped the carnage earlier in the week, with anything of 18 micron or over copping price falls of up to more than 50c/kg in some lines.

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