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

 


MARKET CLOSE: NZX 50 rises to highest in almost 5 years

MARKET CLOSE: NZX 50 rises to highest in almost 5 years; Wrightson, Vector, Contact gain

Nov. 26 (BusinessDesk) - New Zealand’s benchmark NZX 50 Index to its highest close in almost five years, joining a global rally amid demand for higher yields an optimism Europe will grant Greece its next tranche of financial aid. PGG Wrightson, Vector and Contac t Energy gained.

The NZX 50 gained 3.69 points, or 0.1 percent, to 4012.02, the highest since early January 2008. Within the index, 19 stocks rose, 17 fell and 14 were unchanged. Turnover was about $87 million

The Dow Jones Industrial Average rose 1.4 percent on Friday, rounding out a 3.3 percent weekly gain. In Asia today, Japan’s Nikkei 225 Index was 0.7 percent higher in early afternoon trading.

“It was a big week last week with offshore markets playing risk on,” said David Price, a broker at Forsyth Barr. “It is a global phenomenon where it doesn’t pay to be a saver” and that’s prompting investors to take on more risk and buy shares.

Wrightson, the nation’s biggest rural services company, gained 6.1 percent to 35 cents, a three-week high. The stock is rated ‘outperform’ based on the consensus of five analysts polled by Reuters, with a price target of 49 cents.

Vector, the Auckland-based lines company, rose 1.9 percent to $2.66, recovering from the five-month low reached on Friday. The stock has tumbled in the past two weeks after the company lost its final appeal against the way the Commerce Commission set starting prices for the new regime regulating prices for its monopoly services.

Contact, the biggest utility on the exchange, rose 1.4 percent to $5.15.

Heartland New Zealand rose 1.5 percent to 70 cents. The building society said after the market closed that it expects to find out the success of its application for a banking licence before Christmas, having previously anticipated a decision in November.

Fisher & Paykel Healthcare rose 1.6 percent to $2.50, the highest close in 11 months. Last week the maker of breathing masks and respirators beat its guidance with an 18 percent gain in first-half profit, making record sales while keeping a rein on costs and widening its margins. It said profit in the full-year would also beat its estimate.

Fletcher Building, the biggest company on the exchange, fell 0.3 percent to $7.97, having closed above $8 on Friday when brokerage Forsyth Barr upgraded the stock to a 'buy.'

Among smaller companies, NZ Experience, the operates the Rainbow’s End fun park, jumped 9.8 percent to 45 cents after Wellington-based Rangatira indicated it would acquire the 74.86 percent stake owned by the Trustees of the Estate of George Ryerson Gardiner as part of a full takeover at 36 cents a share.


(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Half Full: Dairy Payouts Steady, Cash Will Be Tight

Industry body DairyNZ is advising farmers to focus on strong cashflow management as they look ahead to the 2015-16 season following Fonterra's half-year results announcement today. More>>

ALSO:

First Union: Cotton On Plans To Use “Tea Break” Law

“The Prime Minister reassured New Zealanders that ‘post the passing of this law, will you all of a sudden find thousands of workers who are denied having a tea break? The answer is absolutely not’... Cotton On is proposing to remove tea and meal breaks for workers in its safety sensitive distribution centre. How long before other major chains try and follow suit?” More>>

ALSO:

Scoop Business: NZ-Korea FTA Signed Amid Spying, Lost Sovereignty Claims

A long-awaited free trade agreement between New Zealand and South Korea has been signed in Seoul by Prime Minister John Key and the Korean president, Park Geun-hye. More>>

ALSO:

PM Visit: NZ And Viet Nam Agree Ambitious Trade Target

New Zealand and Viet Nam have agreed an ambitious target of doubling two-way goods and service trade to around $2.2 billion by 2020, Prime Minister John Key has announced. More>>

ALSO:

Scoop Business: NZ Economy Grows 0.8% In Fourth Quarter

The New Zealand economy expanded in the fourth quarter as tourists drove growth in retailing and accommodation, and property sales increased demand for real estate services. More>>

ALSO:

Scoop Business: RBNZ’s Wheeler Keeps OCR On Hold, No Rate Hikes Ahead

The Reserve Bank has removed the prospect of future interest rate hikes from its forecast horizon as a strong kiwi dollar and cheap oil hold down inflation, and the central bank ponders whether to lower its assessment of where “neutral” interest rates should be. The kiwi dollar gained. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news