Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


MARKET CLOSE: NZ shares gain as kiwi weakens; FPH gains

MARKET CLOSE: NZ shares gain as kiwi weakens; F&P Healthcare up

Nov. 8 (BusinessDesk) - New Zealand shares rose, led by Xero and Fisher & Paykel Healthcare, as the kiwi dollar weakened against its Australian counterpart and offshore investors were drawn to an economy that stands out in a weak global environment.

The NZX 50 Index rose 12.15 points, or 0.3 percent, to 3955.24. Within the index, 18 stocks rose, 19 fell and 13 were unchanged. Turnover was $99.7 million.

The kiwi dollar dropped to 78.45 Australian cents, the lowest since mid-September after figures showed New Zealand’s unemployment rate jumped while in Australia added more jobs than expected. Stocks sold off in Europe and the US overnight following the US election outcome and downgrades to European economic growth.

“What we’re seeing here is the New Zealand market remains firm in the light of a pretty weak global environment,” said James Lee, head of institutional equities at First NZ Capital. The kiwi dollar’s advance against the Australian dollar and the greenback is showing up in shares of exporters, he added.

Xero jumped 6.4 percent to $5.80. The cloud-based accounting services company began trading on the ASX today in a bid to draw more Australian investors.

F&P Healthcare, which makes medical equipment and gets more than 50 percent of sales in US dollars, rose 0.8 percent to $2.40.

Among smaller caps, AWF Group, the temporary worker company, rose 2.9 percent to $2.46.

Kathmandu, the outdoor equipment chain, fell 4.5 percent to $1.71, leading decliners after shedding its 7 cents a share final dividend.

Fletcher Building, which oversees the rebuild of Christchurch on behalf of the government, rose 1.2 percent to $7.34 as the weak jobs numbers stoked talk the Reserve Bank may be more willing to cut interest rates to help the economy.

Steel & Tube, which sells steel building products, fell 0.5 percent to $2.18. The company is to re-enter the NZX 50 with the departure of F&P Appliances, now acquired by China’s Haier.

Trade Me, the auction website, and Pumpkin Patch, the children’s clothing chain, were among rising consumer stocks. Trade Me gained 1.2 percent to $4.07 and Pumpkin Patch rose 0.8 percent to $1.25.

NZX, the stock market operator, was unchanged at $1.25 after naming Mint Asset Management analyst Amelia Wong as head of Cash Markets, effective Dec. 10.

Contact Energy, the biggest power company on the index, rose 1.5 percent to $5.36. Telecom was unchanged at $2.38.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Interest Rates: RBNZ Hikes OCR To 3.5%, ‘Period Of Assessment’ Now Needed

Reserve Bank governor Graeme Wheeler raised the official cash rate as expected, while signalling a pause in rate hikes to assess the impact of moves so far this year. The kiwi dollar sank after Wheeler said its strength was “unjustified” and that the currency could have “a significant fall.” More>>

ALSO:

Fonterra: Canpac Site 'Resize' To Focus More On Paediatrics

Fonterra is looking at realigning its packing operations at Canpac, in the Waikato, to focus more on paediatric nutritionals... The proposed changes could mean around 110 roles may not be required at the site which currently employs 330. More>>

ALSO:

Scoop Business: Postie Plus Brand Gets 2nd Chance With Well-Funded Pepkor

The Postie Plus brand is getting a new lease of life after South Africa’s Pepkor bought the failed retailer’s assets out of administration and said it will use its purchasing power to reduce costs of stock and fatten margins. More>>

ALSO:

Warming: Warming Signs From State Of Climate Report

Climate data from air, land, sea and ice in 2013 'reflect trends of a warming planet' -- says the latest State of the Climate report, launched by U.S. and New Zealand scientists. More>>

ALSO:

Scoop Business: Embrace Falling Home Affordability, Says NZIER

Despair over the inability to afford a house is misplaced and should be embraced as an opportunity to invest in more wealth-creating activity, says the principal economist at the New Zealand Institute of Economic Research, Shamubeel Eaqub. More>>

Productivity Commission: NZ Regulation Not Keeping Pace

New Zealand regulators often have to work with out-of-date legislation, quality checks are under strain, and regulatory workers need better training and development. More>>

ALSO:

Callaghan Innovation: Investment To Help Deepen Innovation Reporting

Callaghan Innovation, the government’s high tech HQ for Kiwi business, is to help deepen New Zealand media coverage of the commercialisation of innovation through an arms-length partnership with independent business news service BusinessDesk. More>>

ALSO:

Tax Credits, Grants: Greens $1Bn R&D Plan

In the Party’s headline economic announcement, the Greens have launched their plan to build a smarter, more innovative economy which has as its centrepiece an additional $1 billion of government investment in research and development (R&D) above current spend, including tax breaks for business. More>>

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news