Good demand and a weak currency pushed SA wool prices to a fresh high

Cape Wools’ Merino indicator gained 1.6 percent to close at R120.18/kg (clean), surpassing all previous records. This was a 17.9 percent increase on the opening sale and was up 8.8 percent on the corresponding sale last year, said Company spokeswoman Lizella Delport

Good demand and a weak currency pushed South African wool prices to a fresh high, Cape Wools said on Wednesday.

Delport said that good quality wool with length was well sought-after and traders indicated that fine wools had more realistic prices. They are, however, concerned about the lack of good quality wools over the next three weeks.

Traders supported the medium to stronger wool types very well, with 21 microns gaining 2.9 percent.

Wednesday’s offering was fairly large with 11,120 bales, of which 97 percent was sold. Major buyers were Modiano (2689), Standard Wool (2501), Lempriere (2393) and Stucken & Co (1552).

At the next national schedule for February 5, it is estimated to offer 7500 bales.

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