The New England and North West has really become quite dry again with virtually no rain during July and August.
There has been nearly two months of straight frosts in what must be one of the driest July/Augusts on record.
The New England has good moisture underneath but as so happens this time of year the top section has dried out with the wind which has prevailed over the last two months.
About 25 millimetres of rain across the tops would mean an earlier break than normal with the better fertilised pastures wanting to grow with the sunny days.
I have visited some friends recently on the slopes and plains from Texas through to Moree and Dirranbandi and the tail is worse with virtually no sub soil moisture at all.
It will take a lot of rain to get his country back on track, but what wonderful communities they are and they will look forward to better times.
The markets are mixed at the moment. The cattle job has recorded one of the biggest downward corrections for a long time.
It's hard to believe that only four months ago the job was firing at the top of its game and now the market is some 30 per cent cheaper.
Weaner sellers will be counting there lucky stars after selling on the dearest market ever witnessed back in the autumn. On the other hand lot feeders and steer backgrounders have bought on the same market.
What happens now? Well, lot feeders have jerked the market back suddenly due to supply, higher grain prices and softer export demand.
They have some control at making the figures add up, but the poor old backgrounder has to tuff it out and hope for an upward trend later in the summer when the steers have more weight to carve out a profit.
It's a bit like the share market! You don't make a loss or profit until you actually sell and at this stage rain is critical for this sector not only to grow grass so they can hang on but to improve the markets by taking some supply out of the equation.
All things being equal there will be a fair correction in next autumn’s weaner prices if the backgrounders can't make a profit, although they have seen excellent margins the past couple of seasons.
The lamb supply is right out of season in the New England with just a few tail enders offered fortnightly. This will remain this way now until Christmas until the early suckers start to appear.
The mutton supply will be similar with shearing in full swing. The shearing season is certainly enjoying a good run with the fine weather ensuring no hold ups.
It's wonderful to see the wool market enjoying its best upward trend since the late 1980s. All though a long time ago now, the old saying of better late than never is very app to the wool industry.
