Wool values continue ascent

News release – Wool values continue ascent

New Zealand Wool Services International Ltd reports prices for most types gained further as the bulk of the wool at today’s sale continued recent ascending trends.

In a combined offering of approximately 15,800 bales of North and South Island wool, 89.7 per cent sold.

Since the last wool sale on 16 June the New Zealand dollar has risen against a weighted indicator of the main wool trading currencies by 0.93 per cent.

New Zealand Wool Services International general manager John Dawson said, as in previous recent sales, consistent demand continues to override the potentially negative currency factor.

“Apart from the mid micron wools, which were firm to three per cent easier, the balance of the offering was generally firm to four per cent dearer.

“Chinese shipping requirements continue to pressure the crossbred types, resulting in price gains today of between two and five per cent for the fine crossbred fleece and shears.

“Coarse crossbred fleece also rose as good style wools returned to the season’s highest levels, with prices for these types up by two to three per cent.

“Coarse long shears were one to four per cent dearer, with the shorter types remaining firm.

“First lambs’ wools were one to 3.5 per cent stronger. Long oddments increased between two and four per cent, with the shorter types generally seller’s favour,” he said.

According to John Dawson, competition at today’s auction was strong and well spread. Buyers from China, Australasia and the Middle East were most active, backed up by those from India, Western Europe and the United Kingdom.

Next week’s sale on 30 June is scheduled to offer approximately 3,500 bales from the North Island and 4,200 bales of South Island wool.

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.

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