Wool prices at a fresh high

27 Jan 2011

Wool prices rose for a third week in a row, with the Cape Wools' Merino indicator gaining 2.1% to close at a fresh high of R78.13/kg (clean wool).

This means that the indicator has gained 35% since the opening sale of the season in August last year. The market currently is being driven by strong demand and supply concerns.

A weaker currency provided further support to the market. The rand, at R7.02/$, was down 2.4% against the US dollar compared with the previous week.

It was also 4.2% weaker against the euro at 9.62.

This week's sale saw a much smaller offering than the previous two weeks with 8,690 bales on offer of which 94.5% was sold.

Major buyers were Standard Wool SA (3,937 bales), Modiano SA (2,061 bales), and Stucken (903 bales).

Average prices for good top-making (MF5), sound, long fleeces - less than 1% seed content - were as follows: 20 microns were 0.6% dearer at 81.49 rand/kg; 21 microns strengthened by 1% to 76.04 rand/kg; and 22 microns were 3.1% dearer at 75.47 rand/kg.

Approximately 6,500 bales will be offered at next week's sale.

Source: I-Net Bridge

For more than two decades, I-Net Bridge has been one of South Africa’s preferred electronic providers of innovative solutions, data of the highest calibre, reliable platforms and excellent supporting systems. Our products include workstations, web applications and data feeds packaged with in-depth news and powerful analytical tools empowering clients to make meaningful decisions.

We pride ourselves on our wide variety of in-house skills, encompassing multiple platforms and applications. These skills enable us to not only function as a first class facility, but also design, implement and support all our client needs at a level that confirms I-Net Bridge a leader in its field.

Go to: http://www.inet.co.za