Wool market recaptures strength

Wool market recaptures strength

New Zealand Wool Services International Ltd reports that prices regained ground at today’s combined auction of 21,000 bales of North and South Island wool in Napier and Christchurch.

Ignoring the currency trend, which saw the New Zealand dollar rise 1.8 per cent against the US dollar since the previous wool sale on 14 February, finer crossbred and hogget wools were firm to one per cent dearer, stimulated by renewed interest from Chinese manufacturers as they recommenced production following that country’s New Year vacation.

Coarse crossbred fleece types were fully firm, as were the shorter second shear categories.

Lamb’s wool was strongly contested, especially in the North Island with prices being firm to 1.5 per cent dearer. Oddments eased slightly with the longer types softening the most.

According to New Zealand Wool Services International, significant price gains in overseas currency terms have been a major factor of recent sales. Low wool volumes are likely to see this trend continue

Principal interest in this week’s wool sale came from the Middle East, Western Europe, Australasia and China, with support from local mills and India.

The next wool auctions will be held on Thursday 28 February, combining North and South Island wool, comprising 17,600 bales.

New Zealand Wool Services International publishes a detailed weekly report on New Zealand wool auction trends. A summary of this can be viewed at http://www.nzwsi.co.nz. The full report is available by negotiation with the company.

ENDS

Note to editor:
The full and detailed version of the New Zealand Wool Services International New Zealand Wool Report is taken by various national and international corporations, exchanges and agencies, including NZX, Reuters, the UK Wool Report, Meat and Wool New Zealand, Australian Wool Exchange and various others including bank economists and analysts.

© Scoop Media