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

 


MARKET CLOSE Late rally as Bank of Japan acts

MARKET CLOSE Late rally as Bank of Japan acts

Jan 22 (BusinessDesk) – New Zealand stocks eased slightly until a late rally, in line with cautious sentiment across the Asian region ahead of a crucial Bank of Japan decision to loosen monetary policy, announced just before 5pm local time.

The NZX50 Index rose 1.90 points, or 0.45 percent, to 4,187.082. Within the index, 27 stocks rose, 16 fell and seven were unchanged. Turnover was $95.001 million.

“It seems to have been a bit of a pause for breath day across the region,” said Andrew Bascand, managing director and portfolio manager at Harbour Asset Management, in Wellington.

The BoJ decision, reported on Bloomberg at just after 5pm, confirmed bold steps by the Japanese monetary authorities to run a US Federal Reserve-style quantitative easing policy and a doubling in the country’s inflation target from 1 percent to 2 percent.

The moves reflect newly elected Japanese Prime Minister Shinzo Abe’s push to end two decades of deflation in what remains one of the world’s three largest economies.

“I’ve heard more commentary about Japan in the first three weeks of this year than I have in the last three years,” said Bascand. “People are calling it ‘Abe-onomics’.”

Leading gainers were Steel & Tube, up 4.31 percent to $2.66, and ASX-listed Telstra Corp, up 2.68 percent to $5.75, while PGG Wrightson rallied from falls over the last week, closing up 2.22 percent at 45 cents and is still 12.5 percent higher than a month ago.

Biggest loser on the day was aged care provider Metlifecare, which was down 2.15 percent to $3.18, while Fletcher Building came off 20 month highs, to close at $9.19, down 0.11 percent.

Fonterra Shareholders Fund also continued to lose ground won during last week’s brief spurt to above $7.50, closing the day down 1.1 percent at $7.22 per unit.

“It’s exactly where it was for the first and second weeks of January,” said Bascand, indicating last week’s price surge was caused by index-linked portfolio managers upping their holdings to reflect FSF’s entry into the NZX50 yesterday.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Media: Julian Wilcox Leaves Māori TV

Māori Television has confirmed the resignation of Head of News and Production Julian Wilcox. Mr Maxwell acknowledged Mr Wilcox’s significant contribution to Māori Television since joining the organisation in 2004. More>>

ALSO:

Genetics: New Heat Tolerant Cow Developed

Hamilton, New Zealand-based Dairy Solutionz Ltd has led an expert genetics team to develop a new dairy cow breed conditioned to thrive in lower elevation tropical climates and achieve high milk production under heat stress. More>>

Fractals: Thousands More Business Cards Needed To Build Giant Sponge

New Zealand is taking part in a global event this weekend to build a Menger Sponge using 15 million business cards but local organisers say they are thousands of business cards short. More>>

Scoop Business: NZ Net Migration Rises To Annual Record In September

New Zealand’s annual net migration rose to a record in September, beating government forecasts, as the inflow was spurred by student arrivals from India and Kiwis returning home from Australia. More>>

ALSO:

Scoop Business: Fletcher To Close Its Christchurch Insulation Plant, Cut 29 Jobs

Fletcher Building, New Zealand’s largest listed company, will close its Christchurch insulation factory, as it consolidates its Tasman Insulations operations in a “highly competitive market”. More>>

ALSO:

Scoop Business: Novartis Adds Nine New Treatments Under Pharmac Deal

Novartis New Zealand, the local unit of the global pharmaceuticals firm, has added nine new treatments in a far-ranging agreement with government drug buying agency, Pharmac. More>>

ALSO:

Crown Accounts: English Wary On Tax Take, Could Threaten Surplus

Finance Minister Bill English is warning the tax take may come in below forecast in the current financial year, as figures released today confirm it was short by nearly $1 billion in the year to June 30 and English warned of the potential impact of slumping receipts from agricultural exports. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand

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