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

 


MARKET CLOSE: NZ shares join global selloff; Xero falls

MARKET CLOSE: NZ shares join global selloff; Xero, Chorus and SkyCity drop

By Suze Metherell

Jan. 3 (BusinessDesk) – New Zealand stocks fell today, joining a global sell-off as disappointing Chinese manufacturing data stoked concerns the global economic recovery may falter. Xero, Chorus and SkyCity Entertainment Group led the decline.

The NZX 50 Index fell 25.081 points, or 0.5 percent to 4849.502. Within the index, 23 stocks fell, 19 rose and eight were unchanged. Total turnover for the day was $77.9 million.

Across the region, the Lunar New Year saw the Chinese, Hong Kong and Taiwanese markets closed. Those markets that were open were spooked by Chinese figures showing jobs and export orders shrinking. Japan’s Nikkei 225 Index was down about 1.4 percent, Australia’s S&P/ASX 200 slipped about 0.2 percent and South Korea’s Kospi 200 Index slid about 1 percent.

“As strong as the New Zealand market has been we can’t shrug off the Asian markets, we can’t outperform them,” Bryon Burke, head of equities at Craigs Investment Partners said.

Wellington-based cloud accounting software company Xero led the index lower, down 4.8 percent to $39.51, its lowest in three weeks. Telecommunications network operator Chorus fell 2.9 percent to $1.36, while casino and hotel group SkyCity declined 1.8 percent to $3.80.

New Zealand’s biggest listed company Fletcher Building fell 1.3 percent to $8.96. Telecom was down 0.2 percent to $2.345 and Auckland International Airport dropped 0.5 percent to $3.63. Sky Network Television slipped 0.2 percent to $5.77.

NZX, the stock market operator, was the Index’s biggest gainer, lifting 1.6 percent to $1.28. The company announced US investors are now able to buy dairy futures directly, a signal of more growth in its dairy derivatives market.

Brisbane-based jeweller Michael Hill International rose 1.5 percent to $1.38 and partially-privatised energy company MightyRiverPower, up 1.5 percent to $1.985. Meridian Energy was up 0.5 percent to $1.01.

The market entered February slightly off the boil and on relatively thin volume, making more stable, higher yield stocks, such as the property sector look attractive to investors.

“To a certain degree property stocks have been under-performing a bit, people have focused on growth stocks,” Burke said. “In times when the market is coming off, the yield stocks are seen as a safer way to invest, growth stocks are volatile, sentimental driven stocks.”

Kiwi Income Property led the real estate rally, rising 1.4 percent to $1.12. Property for Industry gained 0.4 percent to $1.27, while Precinct Properties New Zealand also lifted 1 percent to 99.5 cents. DNZ Property Fund was up 0.7 percent to $1.53, joined by Argosy Property up 0.6 percent to 91.5 cents.

Outside of the benchmark index, growth stocks were also depressed. Security software makers Wynyard Group was down 4.3 percent to $2.68. Retail search engine firm SLI Systems slipped 3.7 percent to $2.59, while task-managing app company GeoOp declined 2.9 percent to $2.67.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Future Brighter Money: RBNZ Releases New Bank Note Designs

New Zealand’s banknotes are getting brighter and better, with the Reserve Bank today unveiling more vibrant and secure banknote designs which will progressively enter circulation later next year. More>>

ALSO:

Commerce: Supermarket Inquiry Finds No Breaches By Countdown

The Commerce Commission inquiry into anti-competitive behaviour by Countdown supermarkets, alleged by former Labour Party MP Shane Jones, has found nothing to warrant prosecution, although it warns supermarkets to take care in the way they communicate... More>>

ALSO:

Crown Accounts: English Flags ‘Challenge’ To Budget Surplus

Finance Minister Bill English is warning next month’s half yearly fiscal and economic update from the Treasury may not forecast a budget surplus, saying that returning the government’s accounts to surplus in 2015 will be “a challenge”, given the decline in commodity prices and weak global inflation. More>>

ALSO:

March 2015: Netflix To Launch In Australia And New Zealand

World’s Leading Internet Television Network to Offer Original Series, Movies, Documentaries, Stand-Up Comedy Specials and TV Shows for Low Monthly Price More>>

ALSO:

Price Of Cheese (Is Up): Dairy Product Prices Fall To Five-Year Low

Dairy product prices fell in the latest GlobalDairyTrade auction to the lowest level in more than five years, led by declines in rennet casein and skim milk powder. More>>

ALSO:

Gordon Campbell: On The Australians Scoring Trade Points Against Us With The Chinese

It hasn’t been a great year for Trade Minister Tim Groser... To top it off, Australia has just signed a FTA with China that has far better provisions on dairy exports than what New Zealand currently enjoys in our own FTA with China. More>>

ALSO:

Iwi & Local Consultation: Oil And Gas Block Offer 2015 Begins

Energy and Resources Minister Simon Bridges today announced the start of the Block Offer 2015 process for awarding oil and gas exploration permits. More>>

Industrial Action: Stats NZ Throwing Public Money Away Duplicating Data

The Public Service Association (PSA) says Statistics NZ are throwing money away by collecting the same data twice for official statistics such as the Consumer Price Index... As part of the ongoing industrial action, field interviewers who are PSA members are continuing to collect data, but are not sending it through to Statistics NZ. More>>

ALSO:

Other Stats:

Space: Rosetta's 'Philae' Makes Historic First Landing On A Comet

After more than a decade traveling through space, a robotic lander built by the European Space Agency has made the first-ever soft landing of a spacecraft on a comet. More>>

ALSO:

Get More From Scoop

 
 
Standards New Zealand

Standards New Zealand
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news