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

 

MARKET CLOSE: NZ shares down

Wednesday 02 November 2016 05:30 PM

MARKET CLOSE: NZ shares down, falls led by Tilt, Orion, TradeMe

By Sophie Boot

Nov. 2 (BusinessDesk) - New Zealand shares dropped over a percent as investors felt pre-US election jitters, with Tilt Renewables, Orion Health Group and Trade Me Group leading the index lower.

The S&P/NZX50 Index dropped 76.75 points, or 1.1 percent, to 6,853.74. Within the index, 29 stocks fell, 12 rose and 10 were unchanged. Turnover was $150.3 million.

"There's pretty broad selling, and it's all pre-election risk-off in heightened uncertainty," said Daniel Metcalfe, senior investment advisor at OMF. "The market's had a pretty good run over the last few years, and this is one of the most interesting and fearful events we've had to deal with for a while. The volatility index in the US has increased quite significantly, it's spiked up having been quiet for some time. Spreads have widened significantly, which is a sign of people's fear right now."

Tilt Renewables, the windfarm operator carved out of Trustpower, was the worst performer on the index, down 4.6 percent to $2.10, while Ryman Healthcare dropped 3.8 percent to $8.56.

Orion Health Group hit an eight-month low, falling 3.8 percent to $3.07.

"They've really been an underperformer - since the IPO, they started off winning some contracts earlier in the year and turned around market expectations, but they've been taking a lot longer to deliver the goods that everyone might want them to. The risk-off is exaggerated in those pure growth stories," Metcalfe said.

Trade Me Group dropped 3.3 percent to $4.65, which Metcalfe said was due to Facebook's increased online marketplace offering.

New Zealand Refining Co was the best performer, up 4 percent to $2.34. Freightways gained 1.3 percent to $6.45 and Genesis Energy advanced 1 percent to $1.94.

SkyCity Entertainment Group resumed its falls from last week, down 1 percent to $3.81. In October, the casino operator posted weaker first-quarter revenue, while interim chief executive John Mortensen warned there would be a drop in the immediate term in the business it gets from high-rollers following a Chinese government corruption crackdown.

Outside the benchmark index, Cavalier Corp shed 18 percent to 64 cents. The carpet maker said 2017 earnings may fall as much as 52 percent to between $3 million to $5 million in the year ending June 30, 2017, from $6.3 million a year earlier, as it incurs one-time costs to consolidate its manufacturing operations.

(BusinessDesk)

ends

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 


Serious Fraud Office: Commences Enquiries Into Allegations Of COVID-19 Wage Subsidy Fraud
The Serious Fraud Office has commenced a number of enquiries into alleged abuse of the Government’s COVID-19 Wage Subsidy. Director Julie Read said the allegations relate to multiple complex cases of potential fraud that have been referred to the agency following extensive investigations ... More>>



Environment: Preliminary Environmental Data On New Zealand’s Air Quality Released Today

The Ministry for the Environment and Stats NZ have published the Our air 2021: preliminary data release today. We are currently working to revise the Our air 2021 report to incorporate analysis of the World Health Organization (WHO) 2021 air quality guidelines that were released on 23 September 2021... More>>


Statistics: Food Prices Rise For Sixth Consecutive Month
Food prices rose 0.5 percent in September 2021 compared with August 2021, mainly influenced by higher prices for grocery food and meat, poultry, and fish, Stats NZ said today. September’s movement is the sixth consecutive monthly rise. After adjusting for seasonality, prices rose 0.9 percent... More>>



Reserve Bank: Robust Balance Sheets Yield Faster Economic Recovery

Stronger balance sheets for households, businesses, financial institutions and the government going into the pandemic contributed towards maintaining a sound financial system and yielding a faster economic recovery than following previous deep recessions... More>>


Transpower: Releases Independent Report Into Events Of August 9
Transpower’s Chief Executive Alison Andrew has today released an independent report into the grid emergency of August 9 when insufficient generation was available to meet demand, leading to some customers being disconnected... More>>

Bayleys: Latest Lockdown Adds Further Fuel To Industrial Property Market

The recent construction shutdown resulting from Auckland’s Covid 19’s lockdown restrictions has put additional pressure on an industrial property market that is already struggling to keep pace with demand... More>>