Insight: Your guide to wool prices

Wool prices have fallen at recent auctions and a bigger offering is set to go under the hammer this week.

The weaker Australian dollar has created widespread drops in wool values.

The Eastern Market Indicator fell by 10c to settle at 1358c/kg, and there were drops in Merino wool of 10c to 20c across the various micron ranges.

One exception to the price decline was the 18.5-micron category, sold in Melbourne, which was down just 3c/kg to settle on 1841c/kg at the auctions.

Marty Moses of Temora.

Even though the prices have taken a fall, wool grower Paul Cocking from Kaloona at Cookardinia in southern NSW said values were holding up better than other rural commodities.

He said overall; wool was arguably performing better than mutton, lamb and beef.

“Wool takes a hit due to the dollar, but some microns are holding up well,” he said.

“There’s still confidence in wool as a commodity,” he said.

Moses and Son principal Marty Moses of Temora said this was the fifth consecutive week featuring more than 47,000 bales.

“While demand remains positive, a growing number of export operators are reporting tightening finance issues,” he said.

In the Merino fleece sections, he said there was competition from European, Indian and Chinese interests.

“The best style and measured types recorded minimal price movements throughout the week,” he said.

The upcoming offering is tipped at 49,128 bales.