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

 


MARKET CLOSE: NZ shares rise to new 5-year high; FBU gains

MARKET CLOSE: NZ shares rise to new 5-year high; Fletcher, Steel & Tube gain

Jan. 10 (BusinessDesk) – New Zealand shares rose, pushing the NZX 50 Index to a new five-year high, as expectations of a pickup in building activity lifted companies such as Fletcher Building, Steel & Tube Holdings and Cavalier. PGG Wrightson rose to a 17-month high.

The NZX 50 rose 15.54 points, or 0.4 percent, to 4119.08, the highest since November 2008. Within the index, 27 stocks rose, 19 fell and four were unchanged. Turnover was $103.8 million.

Fletcher Building, the biggest company on the exchange, gained 2.6 percent to $8.67, the highest since June last year. The nation’s biggest construction and building materials firm has gained amid signs of life returning in the Australian home building market. Figures today showed building approvals across the Tasman in November were up 13.2 percent from a year earlier.

“There’s a lot of expectation of improved residential activity in Australia, which has been a bit rough,” said Shane Solly, portfolio manager at Mint Asset Management. Investors are also been drawn to the stock market in search of yield in the face of low returns on offer from fixed income, he said.

Steel & Tube, which sells steel building materials, gained 0.8 percent to $2.43, Cavalier, the carpet maker, rose 1.8 percent to $1.68.

Fast-food chain operator Restaurant Brands rose 1.8 percent to $2.85, leading gains among stocks with relatively high dividend yields. The company has a dividend yield of 8.68 percent.

TrustPower, which has a dividend yield of 7.2 percent, rose 1.4 percent to $8.50. Telstra Corp, with a dividend yield of 9.2 percent, rose 1.1 percent to $5.66 on the NZX.

“In the global beauty contest New Zealand still rates reasonably well,” Solly said. “Versus fixed interest, equities look pretty attractive.”

Wrightson, the nation’s biggest rural services company, rose 4.3 percent to 49 cents, helped by renewed optimism in the farming sector and the publicity from Fonterra Cooperative Group’s sale of units last year. Figures today showed New Zealand’s commodity export prices rose for the fifth straight month in December.

Pumpkin Patch, the children’s clothing chain, rose about 3 percent to $1.39, the highest since Dec. 12.

OceanaGold, operator of the Macraes gold field, fell 3.8 percent to $3.30, the biggest percentage drop on the NZX 50.

Nuplex Industries led manufacturers lower, falling 1.3 percent to $3.16 as the New Zealand dollar rose back above 84 US cents, eroding the value of overseas sales. Skellerup Holdings fell 1.2 percent to $1.61. Rakon fell 2.7 percent to 36 cents.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Bad Day For Rope: Donaghys Job Losses Another Blow To Dunedin

The loss of 30 jobs from Donaghys rope and twine factory is yet another blow to the people and economy of Dunedin, says Dunedin South Labour MP Clare Curran. More>>

ALSO:

Oil: 2014 New Zealand Petroleum Summit

Simon Bridges: Our abundance of energy and minerals resources provides us with unique opportunities to build the New Zealand economy.

Over the past three years the Government has made significant changes to how the sector is regulated. More>>

ALSO:

WWF Report: Solutions In Reach; World Biodiversity Suffers Major Decline

Global wildlife populations have declined by more than half in just 40 years as measured in WWF's Living Planet Report 2014. Wildlife's continued decline highlights the need for sustainable solutions to heal the planet... More>>

ALSO:

Scoop Business: NZ Dollar Catches Breath After "Goldilocks" Slump

The New Zealand dollar edged up following its dramatic slump yesterday after the Reserve Bank confirmed speculation it intervened in the currency market last month and PM John Key suggested a “Goldilocks” level far lower than at present. More>>

ALSO:

Biosecurity: Kiwifruit Claim To Hold Officials Accountable For Psa

Kiwifruit growers have joined forces to hold Biosecurity NZ accountable in the courts for its negligence in allowing 2010’s Psa outbreak that devastated New Zealand’s kiwifruit industry and exports. Foundation claimants representing well ... More>>

ALSO:

Poison: Anglers Advised Not To Eat Trout In 1080 Areas

With the fishing season opening in just a few days (1 October 2014), anglers are being warned by the Department of Conservation(DOC) not to eat trout from pristine backcountry waters and their downstream catchments, where the department is conducting 1080 poisoning operations. More>>.

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news