WOOL prices have opened the season strongly with the Eastern Market Indicator breaking 900c/kg.

At the close of trading in Melbourne and Sydney today the EMI was at 904c/kg clean, a rise of 25c/kg over the pre-Christmas close and at its highest rate since May 2008.

This week's rises, which were across all categories, particularly the middle microns, defied a strong exchange rate  and a relatively large national weekly offering of more than 50,000 bales.

Consensus among both brokers and exporters was that this week's gains were being driven by supply concerns and further rises  were likely over the next few weeks, prior to the Chinese New Year celebrations in mid-February.