New Zealand wool prices remained steady at the latest weekly auction as volumes decline following the end of the main shearing season.
The price for clean 35-micron wool, a benchmark for crossbred wool used for carpets and accounting for the majority of New Zealand's production, was unchanged at $5.35 per kg at last Thursday's North Island auction, according to AgriHQ. Lamb wool slipped 2.3 per cent to $6.30/kg but remains 30 per cent higher than it was a year ago.
Some 5837 bales of wool were offered at the latest auction, the smallest amount since November as New Zealand comes off its seasonal peak, following the end of the main shearing season from December to early February. Auctions are now alternating between the North and South islands each week. Around 91 per cent of the wool bales offered at the latest auction were sold.
"Volumes will likely remain at low levels until the seasonal peak is reached again," said AgriHQ analyst Emma Dent.
The NZ dollar gained 2.2 per cent against the US dollar last week as the greenback weakened after traders pushed out their timing for US interest rate hikes following a string of weaker economic data. A stronger currency makes NZ exports less competitive.
