The wool market remained relatively firm last week, dropping 9 cents a kilogram across the two physical auction sale days.
The Australian Wool Exchange Eastern Market Indicator fell 3c/kg on Tuesday and then a further 6c/kg on Wednesday, to close the week out at 1150c/kg - or US846c/kg.
The market has remained steady in the past few weeks, driven by a renewed sense of optimism for world markets after a string of successful COVID-19 vaccine news reports.
The escalation of COVID-19 cases in America and Europe is still cause for concern.
But with the renewed hope of a vaccine, and the Australian economy steadily rebounding, the market is better placed from its previous lows.
The pass in rate was 11.8 per cent last week - falling 7.9 per cent from the previous week, mostly due to the diminished supplies.
The national offering failed to reach expectation, with only 36,535 bales offered from the expected 41,531.
The AuctionsPlus online offer board remained steady from the previous week, selling a total of 331 bales.
Lines of 17-micron wool sold up to 1155c/kg (greasy), or 1280c/kg (clean) online, and 18-micron wool sold to a top of 1085c/kg (greasy), or 1499c/kg (clean).
The top priced lot online was for 17.2-micron Merino Fleece AAAM wool, which sold for 1280c/kg (greasy), or 1785c/kg (clean). This was branded Brendabilla/YNG, had 0.5 per cent vegetable matter, was 93mm in staple length and was offered by Beecher Wool Services.
Looking ahead, this week has another big expected physical auction offering of 41,697 bales and the market is expected to maintain its steady upward trajectory on the back of the recovery of key buying markets.
Buyers showed more taste for high quality fine and superfine Merino fleece wools last week, and it will be interesting to see if this trend continues heading into Christmas.