Wool price jumps as cotton falters
Australian wool prices finished 2.2 per cent higher last week amid reports of deteriorating cotton crop conditions in the US and flooding in Pakistan.
The lowest pass-in rates this season were achieved as the US exchange rate fell by one per cent.
Landmark business development manager Ben Silverman said the Fremantle market pass-in rate fell to 8.4 per cent.
"The increase in wool prices may have been assisted by the increased cotton market," Mr Silverman said.
"Wool sold in Fremantle made significant gains, with 18.5 to 22 micron categories lifting up 25 to 40 cents/kg, with the former closing at 1637c/kg clean."
He said WA was scheduled to offer 8064 bales this week and the $A began the week at a lower $US1.03.
"We have seen the wool price level out the past couple of months, mostly due to uncertainty in the European and US economies," Mr Silverman said.
But Mr Silverman said wool was holding its own by way of higher demand from the luxury fibre sector.
Included in this week's national sale will be the first Newcastle sale of the season.
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