Wool market continues to strengthen

Wool market continues to strengthen

New Zealand Wool Services International Ltd reports that prices at today's sale of 7,900 bales of North Island wool, in Napier, increased or held steady for all types.

Since the previous auction on 17 April, the New Zealand dollar has strengthened by one per cent against the United States dollar and other trading currencies. While this would normally push wool prices down, strong and well-spread demand over-rode the currency factor at today's sale.

According to New Zealand Wool Services International, auction demand drove up the price for hogget shears at the North Island sale by one to two per cent. Good colour coarse fleece was fully firm, with the poorer styles being well supported, prompting gains between one and three per cent.

Crossbred shears generally remained firm, with the better colour, longer types attracting good interest. In an exception to today's general rising trend, however, average style crossbred shears eased slightly, in line with the currency movement.

Lambs' wool continues to build on recent gains, ranging from firm for the shorter lengths, to two per cent dearer for the longer types.

Oddments increased between one and three per cent.

Next week's wool auction will be of South Island wool only, held on Thursday 1 May, comprising approximately 11,000 bales, in Christchurch.

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-

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