Andrew Partridge from Michelle Wool says, there have been some “pretty major discounts” in the wool market this week.
The decline according to Mr Partridge is due to “the bull market it has a lot of ownership so when we'll sold at the first level to the grower level, we'll can change hands numerous times price of woollen products go down but certainly this first cost there at the auction level, it's dropped a couple of weeks now and this week was probably the worst we've seen in a little while.”
“We saw the survey in the formal indicators, 18 microns and finer dropping a hundred cents in the southern states.
Skirting have followed a similar pattern fleece with a loss of 40c to 60 cents the merino carding indicator is showing a steep decline.
“The Merino carding indicator, it's just doing like a straight drop to the ground and it's sitting at sort of $0.760 and only probably four or five months ago it was at $900.
“I don't think it's going to be a major turn but what we get with particularly Chinese, everyone starts looking for a bottom and wondering when the bottom's going to occur. At some stage, what will happen is this marker will overcorrect,” Mr Partridge said.
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