The 2.2c gain to the AUD over the two sale days was a contributing factor to the ailing EMI. As we have seen over the past month there was some interest evident on the more stylish 40 Nkt types of Fine and Superfine wool which are in short supply.

Merino Skirtings followed a similar trend to the Merino Fleece although the falls tended to be not as large. Crossbreds and Cardings remain in favour with the Buyers in an otherwise bleak sale. Merino Cardings were generally 10c cheaper whilst 30 micron Crossbred Fleece held firm on last weeks levels. Of the 12 selling weeks since the start of 2014, only 3 weeks have returned a positive result.

As the industry scratches its head on why the market has not followed historic trends for the quarter just completed the news emerging from China of their cotton stocks sell down of an enormous stockpile that is said to be about two-years supply.

It is Chinese custom not to enter a falling market, so as the Australian wool market looks to Europe and India to enter the market to stop the price slide. There was some Indian business written this week at below the opening price level, so hopefully we reached the price this week. Many commentators are still very bearish on this market environment.

The volumes on offer traditionally deteriorate after the Easter recess however with the above average passed in rates of late they will have to come back onto the market at some point. Unfortunately with the current market intelligence in front of me and an extremely cloudy crystal ball, my advice is to quit stock ASAP.