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


MARKET CLOSE: NZ shares rise led by Hallenstein, Fletcher

MARKET CLOSE: NZ shares rise led by Hallenstein, Fletcher; Chorus slides after downgrade

By Suze Metherell

Jan. 21 (BusinessDesk) – New Zealand shares rose to a two-month high, led by retailer Hallenstein Glasson, extending its rally from a four-year low as investors went bargain hunting.

The NZX 50 Index advanced 31.175 points, or about 0.6 percent, to 4921.671, the highest close since Nov. 14. Within the index, 31 stocks rose, 12 fell and seven were unchanged. Turnover was $75 million.

Hallenstein, whose shares tumbled more than a quarter last week after it issued a profit warning, led gainers on the NZX 50 rising 7.1 percent to $3.48 as investors were attracted by its relative cheapness.

“Its bottom fishing, you always get a lot of volatility after a profit warning,” said James Lee, head of institutional equities at First NZ Capital.

New Zealand’s biggest listed company Fletcher Building helped pace gains, rising 1.5 percent to $9.06, after it announced former Commonwealth Bank of Australia Ralph Norris will join its board in April.

First NZ’s Lee said the company’s strong interests across the Tasman and a rising kiwi against the Australian dollar meant Fletcher was now more an Australian story than a New Zealand one.

Air New Zealand, the national carrier, increased 0.9 percent to $1.70, buoyed by the recent announcement of a potential code-sharing alliance with Singapore Airlines. Government data today showed a surprise lift in the consumers price index, driven by rising prices for international and domestic flights.

“Air New Zealand continues its upward trend on that Singapore alliance announcement, should it come through the regulators,” Lee said.

Chorus, whose share price halved last year, dropped 4.9 percent to $1.465 after Moody’s Investors Service downgraded its credit rating due to the on-going regulatory uncertainty surrounding the pricing of its copper line service.

Fisher and Paykel Healthcare, who makes breathing masks and respirators, continued an upward trend, hitting a near seven-year intraday high of $4. It rose 1.3 percent to close at $3.97. Wellington-based cloud accounting software maker Xero also rose to another record close, gaining 1.1 percent to $42.38.

Auckland International Airport gained 2.5 percent to $3.67. Online auction site Trade Me was up 2.2 percent to $4.20, as was New Zealand’s biggest listed retailer the Warehouse, rising 0.3 percent to $3.76. Telecom was unchanged at $2.385.


© Scoop Media

Business Headlines | Sci-Tech Headlines


Land & Water Forum: Fourth Report On Water Management

The Land and Water Forum (LWF) today published its fourth report, outlining 60 new consensus recommendations for how New Zealand should improve its management of fresh water and calling on the Government to urgently adopt all of its recommendations from earlier reports. More>>



Welcome Home: Record High Migration Stokes 41-Year High Population Growth

New Zealand annual net migration hit a new high in October as more people arrived from than departed for Australia for the first time in more than 20 years. More>>


Citizens' Advice Bureau: Report Shows Desperate Housing Situation Throughout NZ

CAB's in-depth analysis of over 2000 client enquiries about emergency accommodation shows vulnerable families, pregnant women and children living in cars and garages, even after seeking assistance from the Ministry of Social Development and Housing New Zealand. More>>


Speaking For The Bees: Greens Call For Neonicotinoid Pesticide Ban

The National Government should ban the use of controversial pesticides called neonicotinoids after evidence has revealed that even at low doses they cause harm to bee populations, the Green Party said today. More>>


Get More From Scoop

Search Scoop  
Powered by Vodafone
NZ independent news