30 Aug 2009

Wool prices hold against exchange rate

12:27 pm on 30 August 2009

Prices at the North Island wool sale on Thursday resisted the full effects of a negative exchange rate.

Prices for some wool types increased, despite the New Zealand dollar strengthening by more than 1% against the main trading currencies since last week's sale.

New Zealand Wool Services International reports that average style and better coarse carpet type fleece wool ranged from firm to 2% down, but poorer styles strengthened by up to 1%.

Some offerings of longer length second shear increased by up to 5%. But shorter length shears fell by 4% to 5%.

However, prices for most shear types are still well below what was paid at the last South Island auction last week.

Some 70% of the 16,000 bales offered for auction, were sold.

Next week's South Island auction will include a high volume of wools passed in at previous auctions.