International Wool Market Ushered In "Red May"

< p > < strong > international market ushered in "red May" < /strong > /p >

< p > Australia < a href= "http://www.91se91.com/news/index_c.asp" > wool market < /a > May. The 2 day haze of the Australian market has finally cleared up and the price has gradually recovered. During this period, only a few cooling performances failed to affect the overall rising market.

Australian wool at the end of the year, auction supply shortage, once reduced to the lowest level of the year.

Together with the depreciation of the Australian dollar, the recovery of various economies and the recovery of consumer confidence, Australian wool prices have been strongly supported.

However, from the demand side, its pull up effect is not obvious.

Whether wool prices can rise further depends on the substantial improvement of market demand.

< /p >

< p > since the RBA announced its interest rate cuts in the May policy meeting, the Aussie dollar has fallen sharply against the US dollar, and once again set a 19 month low of 0.9545.

The Aussie dollar was one of the best performing currencies last year, even though the recent slump is still 22% higher than it was 4 years ago.

The mood of the Australian dollar has become increasingly pessimistic this month, with analysts even predicting that the Australian dollar will fall to 0.80 against the dollar.

< /p >

At the end of P > 5, the eastern Australian market index closed at 1032 Australian cents / kg, while the US gold price closed at 999 cents / kg, up 3.7% from last month's closing, down 2.1%.

< /p >

< p > > a href= "http://www.91se91.com/news/" > New Zealand wool > /a > market drought reduction and near the end of May, New Zealand wool supply is very tight, and an auction was cancelled due to shortage.

New Zealand's wool price has risen sharply, due to the low supply in the early stage, the weakness of New Zealand dollar, the improvement of market demand, and the strong price of other wool producing countries.

However, at the end of the month, the last auction went back and forth, and because of the sharp increase in supply and the appreciation of the New Zealand dollar, the price of wool was under pressure.

< /p >

In the face of the continued rising of the New Zealand dollar, the New Zealand Federal Reserve will consider increasing the strength of selling foreign currencies to curb the continued appreciation of the New Zealand dollar, but this approach can only temporarily relieve the excessive rise of the P dollar and can not reverse its general upward trend.

With the recent poor performance of China's economic data and the anticipation of further action by the Australian Federal Reserve to cut interest rates, the downward pressure on the New Zealand dollar has further increased.

< /p >

< p > the South African wool market has only two auctions in May due to the decrease in supply at the end of the quarter.

At the beginning of the month, Rand's exchange rate forced the price of wool to bear pressure, and the demand for China and Europe was weak, and wool prices generally declined.

In the later period, Rand went down to the lowest level in 4 years, and the price of wool was rising, with the most obvious increase in fine wool.

The June 5th auction will mark the end of this year's South African wool market.

< /p >

< p > May, the supply of wool was 21378 packs, with a turnover rate of 99.1%.

The Cape wool Merino index closed at 107.14 RAND / kg at the end of the month, up 12% over the same period last year.

< /p >

< p > < strong > the domestic market is steadily decreasing slightly > /strong > /p >

< p > May, domestic a href= "http://www.91se91.com" > wool price < /a > is not as warm as the weather is. The market demand is like seventy or eighty degrees of water, and there is always a lack of heat.

It is reported that the raw material inventory of domestic wool factories and traders is within the acceptable range.

< a href= "http://www.91se91.com" > spinning enterprise < /a > generally reflects the demand for high quality yarn in the market has picked up, orders are generally maintained to six or seven months, but production costs have significantly improved and profit margins have decreased.

In order to reduce energy consumption and increase production capacity, some enterprises are upgrading equipment, which greatly saves labor costs.

On the whole, the export situation of domestic enterprises in the first half of the year is really not satisfactory. Will the domestic market, which is the main domestic market in the second half of the year, add fire? We can only rely on the demand.

< /p >