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

 


MARKET CLOSE: NZ shares fall; Westpac, Fletcher slip

MARKET CLOSE: NZ shares fall; Westpac, Fletcher slip, Moa gains on debut

Nov. 13 (BusinessDesk) - New Zealand shares fell, joining a global selloff on concerns about the US fiscal cliff and Europe’s stuttering economy. Fletcher Building and Telecom paced the decline; Westpac Banking Corp shed its dividend while boutique brewer Moa advanced in its listing debut.

The NZX 50 Index fell 13.441 points, or 0.3 percent, to 3970.55. Within the index, 23 stocks fell, 15 rose and 12 were unchanged. Turnover was $85.8 million.

Share markets were weaker across the region, with Japan’s Nikkei 225 Index down 0.3 percent in early trading and Hong Kong’s Hang Seng falling about 1 percent. New Zealand stocks are retreating from their highest levels in almost five years, where they’ve been underpinned by high dividend yields.

“Certain parts of the market looking a bit stretched,” said Greg Easton, an adviser at Craigs Investment Partners. “The property sector, the retail sector are running above where we think the value is. But really they’re being driven by yield.”

European concerns and America’s fiscal cliff have prompted some people “to take money off the market,” he said.

Fletcher Building, the biggest construction and building products group on the NZX 50, fell 0.9 percent to $7.41. Telecom declined 1.6 percent to $2.395.

Westpac dropped 4.8 percent to $31.79 after shedding its 84 cents a share final dividend.

Moa ended the day at $1.29, having sold in a $16 million initial public offering at $1.25. Moa needs the money to build a new $6.1 million brewing facility and cover the $1.6 million cost of the float.

Kathmandu, the outdoor equipment retailer, rose 4.8 percent to $1.75, having shed about a third of its value in the past year. Xero, the cloud-based accounting service, climbed about 1 percent to a new record close $6.36 as it continued to benefit from the extra exposure from listing on the ASX last week.

Trade Me Group, the auction website, gained 1.2 percent to $4.19.

Mainfreight, the global transport and logistics company, pared an earlier decline to finish the day unchanged at $10.40. First-half profit fell 4.6 percent as an earnings slump in Europe offset gains in all of its other markets.

“We maintain our confidence in the long-term benefits of our European acquisition although we are disappointed with the financial performance over the last six months,” managing director Don Braid said in a statement.

Infratil rose 0.2 percent to $2.18. The investment firm reported a first-half net loss of $16.5 million after taking a previously flagged charge against the value of its UK airports. It lifted its dividend by 8.3 percent.

Goodman Property Trust was unchanged at $1.06 after saying it wants to raise $80 million in new equity from institutional and retail shareholders to buy the 50 percent it doesn’t already own of the Auckland business park, Highbrook, in a $186.6 million transaction involving cash, trust units and deferred payment elements.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Must Sell 20 Petrol Stations: Z Cleared To Buy Caltex Assets

Z Energy is allowed to buy the Caltex and Challenge! petrol station chains but must sell 19 of its retail sites and one truck-stop, the Commerce Commission has ruled in a split decision that acknowledges possible retail price coordination between fuel retailers occurs in some regions. More>>

ALSO:

Huntly: Genesis Extends Life Of Coal-Fuelled Power Station To 2022

Genesis Energy will keep its two coal and gas-fired units at Huntly Power Station operating until 2022, having previously said they'd be closed by 2018, after wringing a high price from other electricity generators who wanted to keep them as back-up. More>>

ALSO:

Dammed If You Do: Ruataniwha Irrigation Scheme Hits Farmer Uptake Targets

Enough Hawke's Bay farmers have signed up for water from the proposed Ruataniwha Water Storage Scheme for it to go ahead as long as a cornerstone institutional capital investor can be found to back it, its regional council promoter announced. More>>

ALSO:

Reserve Bank: OCR Stays At 2.25%

Reserve Bank governor Graeme Wheeler kept the official cash rate at 2.25 percent, in a decision traders had said could go either way, while predicting inflation will pick up as the slump in oil prices washes out of the data and capacity pressures start to build in the economy. More>>

ALSO:

Export Values Down: NZ Posts Biggest Annual Trade Deficit In 7 Years

New Zealand has recorded its biggest annual trade deficit since April 2009, reflecting weaker prices of agricultural commodities such as dairy products, beef and lamb, and increased imports of vehicles and machinery. More>>

ALSO:

Currency Events: NZ's New $5 Note Wins International Banknote Award

New Zealand’s new Brighter Money $5 note has been named Banknote of the Year in a prestigious international competition. The $5 note was awarded the IBNS Banknote of the Year title at the International Bank Note Society’s annual meeting. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news