Southern Aurora Markets partner Mike Avery.
THE wool auction market maintained its positive momentum and forwards continue to be well bid in modest quantities.
The tight wool supply seems to be winning the short-term battle, with tepid demand all micron groups showing steady, albeit unspectacular rises over the last two months.
The Merino prices have moved up between 1.5-3 percent across the last 20 auction days.
Crossbreds have been the standout gaining around 15pc of their early May lows.
Forwards continue to be well bid in modest quantities. The positive open to the auction series saw spring trade of 21 micron at 1455 cents, a 10-cent premium to spot.
More importantly, indications of interest in 2026 reappeared for the first time in three months with most Merino qualities bid flat to cash for April, May, and June.
Poorer than anticipated domestic job numbers will put further pressure on the AUD and should help the last round of auctions before mid-year recess. Forwards are likely to hold their bid levels and give growers opportunities of getting hedge cover for spring 2025 and autumn 2026.
Trade this week
October 21 micron                                          1455 cents                         10 tonnes
Source – Southern Aurora Markets.