The Australian Wool Exchange Eastern Market Indicator (EMI) closed on 1342c - up 30c at auction sales.
In the largest weekly rise since February, 93.6% of the 47,446 bale cleared to the trade, and coupled with an appreciating AUD USD exchange rate, further highlighting the solid (and at times bullish) market trend.
Merino Fleece added between 15c to 88c across the MPG's with the Southern and Western markets continuing to rise as they sold into Thursday.
Best style and specified lots were keenly sought after and, at times, surpassed the previous week's quotes by over 100c.
The lots finer than 18.5 continued to stretch their price basis that has 17 at a premium of 1027c (80.4%) over 21.
Around 10% of the offering was wool allocated from previous sales or old wool, of which a large percentage being drought affected wool.
Merino Skirtings followed the fleece prices upwards between 50 and 80c, however a large percentage of the skirtings contained jowls and cotted edges. Whilst these lots at times were discounted, if they were fine, under 4.5% VM and free of colour and cots, the prices were at times extreme.
Cardings added an average of 14c across the nation with the largest rise measured in the Northern Markets (+25c). XB oddments coarser than 26.5 remain extremely cheap compared to the FX and Comeback types.
Crossbreds did not enjoy the pricing trends of their merino counterparts, producing slightly weaker prices for the 28 MPG and finer (-8c) but gaining 5c on the 29-32 MPG's. Whilst it's hard to fathom the coarse fibre price levels at the 8th decile, there are further discounts for lots displaying poor or no classing and skirting. The worst performers of this sector are lots containing kemp fibre. Some of these lots are failing to attract bids that will cover the cost of selling let alone the shearing costs.
The forward markets opened the week tentatively, however as the sales got under way, the bidders became more active with trades into autumn and spring at above the cash.
19 traded up to 1660c for October Settlement which is 1% above the current spot.
Year-to-date the offerings are up 8% or 104,102 bales and conversely the pass in rate is down 6% YOY.
It is evident that most of the market push is still emanating from China, and their new interest in natural sustainable fibres and more specifically Merino wool knitwear for the leisure and active wear.
The offering for next week's sale climbs up slightly to 48,245 and the early indications for the markets performance seem positive.