Show economist gives outlook for wool prices next year steady to slightly better wool woold prices are in prospect t for early 1939 substantial price increases I 1 seem unlikely unless some unusual development stimulates world wool markets says dr 0 J wheatley utah state agricultural college extension economist in the first half of 19 1938 3 8 the spread between dome domet t c and foreign prices was considerably less than tariff and imports of wool into the united were very small with the recent rise in domestic wool prices the spread has widened so that at present it is is I 1 not much less than the tariff A new rise in domestic wool price will stimulate foreign imports unless foreign prices rise a corresponding amount recently a somewhat new influence in wool prices developed dr wheatley points out that this influence is cau caused S ed b by y the fluctuating value of foreign money A decline in the value of foreign money in relation to the dollar will encourage wool imports if foreign currencies rise in relation to the dollar wool imports will be discouraged 1 the demand for w wool 0 0 I 1 in this country continues to improve and mill consumption in 1939 is expected to exceed that of 1938 if imports remain small domestic consumption is likely to result in moderately reduced stocks of wool in the united states by spring stocks of wool in most foreign countries except japan apparently are somewhat larger than a year ago however prospects point to a decline in wool production in the southern hemisphere during 1938 and 1939 which may offset in part this large carryover says dr wheatley |