The Australian wool market exhibited some positive signals last week, with the eastern market indicator (EMI) notching up 54 cents to finish at 1198 cents per kilogram, clean.
Due to the further strengthening of the Australian dollar, when viewed in US dollar terms, the rise was even higher with the EMI adding US47c to close at US892c, or 5.5pc.
In the second last week of auctions before a three-week Christmas recess, all three selling centres produced strong results in all Merino micron categories.
But it was the finer micron wools that experienced the greater rises.
Seventeen micron and finer gained between 56 and 142c while 18-micron through to 21-micron types lifted between 46 and 81c.
According to the Nutrien wool weekly market report, in one of their last opportunities to do so, buyers were seeking quantities to fill orders for December shipments.
The urgency created resulted in increased buyer sentiment and demand and in turn led to an overall increase in the prices required to acquire the wool need to fill these orders.
High clearance rates of the back over a slightly higher offering was also positive, with all three selling centres offloading more wool to reduce the national pass in rate to 5pc.
In the crossbred section gains were felt felt across all types and descriptions with the largest increase in the 32-micron category rising 37c.
Next week is the final sale before auctions finish for a three-week Christmas recess so many sellers are taking the opportunity to sell their wool which in turn has pushed offerings higher.
Currently there are 49,124 bales available to trade in Sydney, Melbourne and Fremantle.
This time last year the EMI sat at 1503c/kg, over 300c above the current level, and compared to the 10 year average of 1352c/kg, the EMI is sitting 154c lower.
Year-on-year, the national number of bales offered has dropped by 2.6pc or 17,664.
