Weaker dollar pushes wool prices up

News release - Weaker dollar pushes wool prices up

New Zealand Wool Services International Ltd reports prices at today¹s wool sale, in Christchurch, generally strengthened, apart from the fine wool sector.

Since the previous sale on 21 August the New Zealand dollar has weakened 1.5 per cent against the United States dollar and Euro, but remains unchanged against the Sterling and Australian dollar.

According to New Zealand Wool Services International, subdued trading and a softer Australian market saw the mid micron sector soften between two and four percent, while a good cross section of well prepared coarse wools were strongly supported, with most types appreciating.

Fine crossbred fleece and shears 32 to 35 microns strengthened up to one per cent.

Coarse carpet fleece gained up to 1.5 per cent, with the longer shears increasing one to two per cent. The shorter shears were well supported with prices lifting two to three per cent.

A small offering of lambs¹ fleece remained firm.

Long oddments were one to two per cent dearer, with the shorter types increasing two to four per cent.

Disrupted shearing schedules due to continued adverse weather conditions, along with reduced sheep numbers, means wool supply is restricted, resulting in cancellation of next week¹s Christchurch sale, on 4 September.

The next sale of North and South Island wool is therefore on 11 September, offering 12,000 bales in Napier and approximately 12,000 bales in Christchurch.

New Zealand Wool Services International publishes a detailed weekly report on New Zealand wool auction trends. A summary of this can be viewed at http://www.nzwsi.co.nz. The full report is available by negotiation with the company.

ENDS

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