WOOL POSITION

Northern Advocate, 23 March 1925, Page 5

WOOL POSITION

DOWNWARD TENDENCY.

PRIC T : ,: :. ERRATIC

EXPERT EXPLANATION,

(Received 11.30 a.m.)

LONDON, March 22,

Discussing the wool position a leading importer says: "There are many hopeful indications that the. downward movement in merinos has been checked. It must be borne in mind from the supply point of view that roughly two thirds of the year's clip lias been sold in our distributing markets. The stocks of merino tops wools in the consuming markets, both on the Continent and in America and even Yorkshire, are generally below normal. Continental buyers are already finding that the present basis is beginning to encourage the demand. They are probably better situated than the Home trade as regards stocks, and the financial stringency which has compelled them to cperate sparingly in the colonial markets has turned out to be an advantage in the long run. There is evidences also that the preferential call for cheaper goods during the past year will be less acute irow that fine grades have declined so materially. It is certain that the demand will always favour fine goods where values are reasonable. The position of crossbreds and coarser wools does not yet appear to be quite so hopeful, as that of merinos. Competition for the former at the present series of sales was very slack. Although fine wools have slightly hardened crossbred prices are very erratic and weak. Generally they show a decline on the opening rates." —A. and N.Z.