Wool took another hit last week when prices fell 4 per cent on average at sales across the country.
The biggest falls were seen in the east with the Eastern Market Indicator (EMI) dropping 34 cents a kilogram on the first day and a further 12c/kg on the second day to finish the week at a disappointing 949c/kg.
Price falls in WA weren't quite so bad, as there were no sales on Thursday, but the market still dropped from 998c/kg to 974c/kg losing 24c/kg for the day.
There were 40,404 bales on offer with 31,068 cleared to trade setting the pass-in rate at 23.1pc.
Wool Agency manager Andrew Johnson said the short-term outlook was gloomy.
"There are no two ways about it, the price has peeled off and I can't say there is good news on the near horizon," he said.
"People are finding it difficult to do business and there is a definitely a lack of confidence.
"The alarm bells aren't exactly ringing yet but in talking to the trade, there is not a lot of expectation that the market will be pleasant."
But Mr Johnson said it wasn't all bad news for wool alone as there was uncertainty in all international commodities.
"It isn't a good story but the whole world is very uncertain," he said.
"All commodities are having problems and at the moment we are definitely seeing the volatility of the wool market, because let's face it, we are not an essential commodity."
Westcoast Wools managing director Luke Grant also said there was not a lot of expectation that the market would be turning around any time soon.
According to Mr Grant until the world economies picked up, the wool market would continue its trend.
"But there seems to be a bit of good news coming out of Europe and there is a bit more confidence there," he said.
"I think there will be a couple more weeks in this downward trend, hopefully not as big a falls as we have seen, then we will see it level out a bit."