WOOL prices rebounded last week, albeit from a low base.
The Eastern Market Indicator closed the week up 45c/kg at 766c/kg clean.
The weak Australian dollar and Chinese quotas were the two main factors in breaking five successive weeks of falls.
Other factors mentioned by exporters included tight wool supplies and the $855 billion Chinese financial stimulus to its manufacturing and banking sectors.
The result in the Australian auction rooms meant the clearance to the trade of 39,300 bales, its best rate in four weeks.
The pass-in rates were also down. In Melbourne's Elders auction on Thursday the rate was down to 4.2 per cent.
Confidence in a rekindled market was reflected in sales of more than 2000 bales last week on the computerised bid-offer facility Wooltrade.
Wooltrade manager Tony Benson said he had a busy week fielding inquiries and completing sales.
Mr Benson said Wooltrade, which began the week with a listing of 23,000 bales, anticipated further strong inquiry this week, particularly for Chinese demand in the 18.6 to 22.5-micron range.
