The New Zealand wool market experienced a dramatic decline this week, despite a significantly weaker local currency.
At the North Island sale held on 8 November, the Coarse Crossbred Indicator fell by 27 cents (8.6%) to close on 287 cents, and in US dollar terms also lost 11 cents (5.3%) to finish on 195 US cents.
The New Zealand dollar weakened by 3.97% against the US dollar compared with the previous sale two weeks ago, finishing at 67.80 US cents.
The total offering was 8,959 bales, with a clearance rate of just 23%.
Compared with the South Island sale on 25 October, prices moved as follows: Fine crossbred fleece of 33 microns and finer 1-2% cheaper. Fine crossbred early shorn of 34 microns and finer 2-5% cheaper. Coarse crossbred fleece of 36-39 microns – good styles 3-6% cheaper, average styles 3-7% cheaper, poorer styles nominally 1-3% cheaper. Among the coarse crossbred early shorn and second shear types of 36-39 microns, 3/5 inch were 3-5% cheaper, 3/4 inch 3-4% cheaper, 2/4 inch 3-4% cheaper, 2/3 inch 2-4% cheaper. Crossbred oddments – good style – 2-4% cheaper, poor style – 1-2% cheaper.
Source: Wool Services International
