Wool Meaning:
In commodity market terminology, Wool refers to a fabric made from the sheared hair of sheep, llama or other ruminants. Sheep's wool is used all over the world in the manufacture of clothing.

Wool Example:
Wool futures are traded at the Australian Securities Exchange and the Sydney Futures Exchange. Six different types of wool futures contracts are traded between the two exchanges, which merged in 2006. The futures contracts vary in the types of wool and the micron size of the wool filaments. Prices are quoted in Australian Dollars.