The AWEX EMI finished at 1676¢, 78¢ lower (-4.4%) in Australian currency and 88¢ lower (-7.2%) in US currency at sales in Sydney, Melbourne and Fremantle this week.

41,543 bales were on offer nationally, compared with 34,078 bales last sale.  28.6% of the offering was passed in, including 53.5% in Fremantle.

AWEX reports that the value of the wool sold was $51.1 million ($1,724 per bale), taking the season total to $164.9 million ($1,869 per bale).

Although the market finished on a firm note in the last sale before the Break in Sales, all that good work was overshadowed by the increasing global economic uncertainty associated with the trade and / or political disputes between the US and China (in particular) the US and India, the US and Iran; and Brexit.  Commodity prices (apart from gold) invariably come under pressure in such circumstances.

The US Exchange Rate finished 1.97¢ (-2.8%) lower to close at 67.75¢ on Thursday; after falling to 67.16¢ on Wednesday.  This was the lowest value since the middle of March in 2009, when it was 66.13¢.

The greatest impact on prices was from 18.5 microns and up among the Merinos, and at 30 and 32 microns in the Crossbreds.  Oddments went against the trend, with increases on both days, leading to a 4.1% increase in the average AWEX Merino Cardings Indicator.

Buyers for China were dominant, with support from buyers for Europe, India and Korea.

In other countries, South African sales were due to resume in week 07, but will not be attended by buyers (see AWIS Newsletter).

Looking ahead, offerings for the coming three sales are expected to range from 30,645 bales to 44,836 bales and to be 8.1% more than in the same period last year.  The forecast progressive difference to Week 9 is -8.0%.