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

 


MARKET CLOSE: NZ shares rise; Fletcher, Kathmandu up

MARKET CLOSE: NZ shares rise on positive trans-Tasman sentiment, Fletcher Building, Kathmandu up

By Suze Metherell

March 13 (BusinessDesk) – New Zealand stocks snapped a three day slide after a jump in Australian employment figures while at home the central bank hiked rates to counter inflation in a strengthening economy. Fletcher Building, Kathmandu Holdings and SkyCity Entertainment Group paced gains.

The NZX 50 Index rose 15.454 points, or about 0.3 percent, to 5111.984. Within the index, 22 stocks rose, 14 fell and 14 were unchanged. Turnover was $102.8 million.

Australian full-time payrolls were the highest in 22 years as employers added 80,500 workers in February. New Zealand’s Reserve Bank lifted the official cash rate to 2.75 percent, the first increase since 2010, in what is the first step in a tightening cycle.

“Australia had a surprisingly strong monthly employment report,” said Matthew Goodson, who helps manage $650 million of equities and property holdings for Salt Funds Management. “There’s perhaps a little more hope for the Australian economy from those numbers today.”

Fletcher, which counts Australia as its second-largest market, rose 2.1 percent to $9.73. Outdoor good retailer Kathmandu, which gets two thirds of sales in Australia, climbed 1.4 percent to $3.60, while SkyCity, which operates casinos in Adelaide and Darwin, advanced 0.5 percent to $3.94.

MightyRiverPower rose 0.5 percent to $2.035, Meridian Energy slipped 0.9 percent to 1.085 and Contact Energy advanced 1.1 percent to $5.31 as the government released details of its plans to sell shares in state-owned Genesis Energy listing ahead of an NZX listing slated for April 17.

Genesis is the last asset in the government’s sale programme, following the float of 49 percent of MightyRiverPower and Meridian Energy, and the sell down of 20 per cent of the Crown’s holding in Air New Zealand to 53 per cent.

“At a very quick glance Genesis appears to be in a range which gives it a reasonable chance of having some interest from the market,” Goodson said.

“There is obviously political risk with these companies and so they will bounce around with poll outcomes to some extent,” he said. “Secondly, the key issue for them all has been weak electricity demand for several years, and there are some very tentative signs that perhaps we’re through the worst of it.”

Auckland-based lines company Vector fell 0.4 percent to $2.47. Air New Zealand climbed 2.5 percent to $1.88.

New Zealand Oil and Gas rose 2.5 percent to 81 cents after advising there were additional development opportunities at the Kupe field, of which it has a 15 percent stake. Genesis holds 31 percent.

Pacific Edge, the bladder cancer test developer, rose 4.2 percent to $1.49. It will join the NZX 50 Index this month, replacing Hallenstein Glasson Holdings, which has been the bourse’s worst performer this year. The retailer was unchanged at $3.09.

OceanaGold rose 3.2 to $2.91 leading the day’s gainers. Chorus climbed 0.6 percent to $1.65. Auckland International Airport lifted 0.3 percent to $3.90.

New Zealand’s largest telecommunications provider Telecom was unchanged at $2.45.

Xero sank 1.5 percent to $42.98 and was the worst performer on the benchmark index. Fisher & Paykel Healthcare, which gets almost 50 percent of sales in US dollars, fell 1.2 percent to $4.24 as the kiwi dollar gained. Port of Tauranga dropped 0.9 percent to $13.80 and online auction website Trade Me Group declined 0.8 percent to $3.72.

Outside the benchmark index, Wynyard Group was halted from trading for a capital raising. The intelligence software developer plans to raise $35 million through a placement and a share purchase plan to fund its global growth strategy. It last traded at $2.86.

(BusinessDesk)

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Drones: First Certificate Issued Under New UAV Rules

Transport Minister Simon Bridges and Associate Transport Minister Craig Foss say the first certified flight of an unmanned helicopter under new aviation rules is a great example of how they can enable commercial use. More>>

ALSO:

GE Swedes And Cow Deaths: Plant Analysis Backs Up Earlier Advice

The industry body is recommending that farmers do not feed Herbicide Tolerant (HT) swedes to cows in spring when the animals are in late pregnancy or early lactation. DairyNZ is also advising caution if farmers are considering other leafy varieties. More>>

ALSO:

Statistics: Dairy And Travel Still Our Largest Export Earners

New Zealand earned $2.3 billion more from exports than we spent on imports during the year ended June 2015... total exports of goods and services were $67.5 billion, while total imports were $65.1 billion. More>>

ALSO:

Approval: Air New Zealand And Air China Launch New Alliance Route

Air New Zealand and Air China have today launched joint sales for a new daily direct service between Auckland and Beijing after receiving approval from New Zealand Minister of Transport Hon Simon Bridges to form a strategic alliance. More>>

ALSO:

Money Trading: FX Trader Jin Yuan Finance Warned Over Lack Of Monitoring

Jin Yuan Finance, an Auckland-based foreign exchange trader, has been warned over its lack of anti-money laundering processes in place in the first public notification by the Department of Internal Affairs. More>>

ALSO:

Auckland Surge, Possible Peak: House Values Accelerate At Fastest Annual Pace In 8 Years

New Zealand residential property values rose at their fastest annual pace in eight years in August, pushed higher by overflowing demand in Auckland, which is showing signs speculators think it has reached its peak, according to Quotable Value. More>>

ALSO:

Cash Money: Reserve Bank Launches New $5 And $10 Banknotes

The $5 and $10 final banknotes were revealed at an event at the Bank in Wellington, and will start to be released from mid-October 2015. More>>

ALSO:

Truck Sales Booted: Commerce Commission Files Charges Against Mobile Trader

The Commerce Commission has filed charges against a mobile trader, or truck shop operator, claiming he obtained money from customers by deception and never intended to supply them with the goods they paid for. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news