The Wool Market Performance In May Is A Big Surprise.

< p > review the market performance of last Wednesday is "a href=" http://www.91se91.com/news/index_s.asp "Australian wool market < /a > long" black Wednesday ".

The reason for this is that most people run counter to the market forecast before the auction.

After a sharp decline in the market in recent weeks, we have been discussing that this week's auction will show a positive performance.

This comment is based on the fact that Australian herdsmen have further reduced the number of wool listed for auction, so that the original three day auction plan had to be changed to a two day auction because of the sharp decline in the number of ready to go public.

But almost beyond the expectation of most people, the performance of the market has further surprised people.

A black Wednesday allowed the Australian Eastern market index to fall below 1000 points.

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To calm down and analyze the reasons for this situation this week, P has to return to supply and demand.

I remember that in the second half of the last two years, the demand has also declined rapidly in the short term, but the price of wool is still strong. The reason is that the reduction in supply is even faster than the reduction in demand.

In recent weeks, although the supply and demand of both markets have been declining at the same time, the demand has decreased much faster than the reduction in supply.

Although Australian herdsmen hope to curb the downward trend of prices by reducing the listing volume, the performance of this week's market seems to have not had the desired effect.

So what will happen next? No doubt the game in the market will be more intense.

The most prominent performance is higher shooting and racket.

In the first two weeks, the herdsmen are concerned about the current decline in market demand and are quite inconsistent.

The only way they can effectively protect themselves is to reduce the number of pactions and wait for the opportunity to make a comeback.

We need to prepare ourselves for a sharp increase in demand in the short term when demand falls sharply in the short term.

The market is now in a period of great turbulence, which has become an indisputable fact.

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< p > from the past two weeks in the domestic inspection process, the enterprises I have contacted have great differences in the analysis of the current market performance and future trend.

In fact, there are not many "dark" businesses.

Most people are still optimistic about the market.

The demand for wool is not as bad as some people think.

What is the main reason for the sharp decline in Australian wool prices? We have overlooked the fact.

As we know, when the demand for "a href=" http://www.91se91.com "/a" is reduced, a large number of European wool is quietly landing at all major ports in China.

Since May, the country's wool producing areas will also start selling in bulk.

This is the real reason for the reduction in demand for Australian wool.

According to the reaction of all sides, herdsmen in Europe have seen many good years without seeing for many years.

Although the quality of the wool produced is comparable to that of Australia, South Africa, New Zealand and other countries, a large number of Chinese customers are actively purchasing in order to reduce the cost of raw materials.

The ugly duckling of European wool has turned into a "daughter of the emperor" for such a reason. Where is the reason? But Australian farmers are complaining that they will not solve any problems.

Market economy is so cruel.

The reason for this phenomenon is not to be solved by a review.

This needs to be elaborated from many aspects.

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The biggest internal change in this week is < p > a href= "http://www.91se91.com/news/index_p.asp" > Australia < /a > when the government declared its economic development in a long period of time, it suddenly admitted that this year's deficit would be as high as 12 billion Australian dollars.

For a while, the voices of discontent and abuse were disappearing.

It seems that the Labour Party will be a miracle if it can resume its re-election in September this year.

However, the Australian dollar has not broken the threshold because of such bad news. For a long time, the industry and Commerce have not blinded the propaganda of the government.

Cost, operation, market, risk and other factors are almost ready.

Therefore, the government's final truth did not cause panic in all sectors of industry and commerce.

The purpose is to say that the Aussie dollar will probably not fluctuate greatly because of the domestic budget deficit.

For the Aussie dollar, its main influence will be the future economic trend of China and the United States.

If China and the United States show good or bad economic news, the impact of the Aussie will be far greater than the impact of the current Australian economy.

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