NZ stocks: Telecom pushes market higher

The sharemarket managed a small gain today on the back of a nearly 2-per cent rise for top stock Telecom.

The benchmark NZSX-50 index closed up 0.2 per cent, or 5.8 points, at 2822.40, in contrast to its 18-point loss yesterday. Turnover was just $62.2 million.

"With overseas markets treading water at the moment, we're not seeing any discernable trend in market direction," said First NZ Capital director Philip Hunter.

"Investors are just weighing up where they see the market heading in the short term, having had a fairly strong run in the last two or three months - just biding time, awaiting a catalyst one way or the other."

Telecom rose 5c to 261.

Fellow blue chip Contact Energy lost 4c to 563, although it recovered from its session low of 557. The shares posted a 13c decline yesterday on the company's forecast of a fall of up to 33 per cent in annual earnings, due to lower than expected wholesale electricity prices.

Fletcher Building lost 7c to 682, Auckland Airport fell 2c to 159, Sky TV fell 5c to 435, and Fisher & Paykel Appliances lost a cent to 69. Sky City was up 4c at 280, F&P Healthcare rose 7c to 315 and Infratil was up 2c at 176.

Among the larger declines outside the top-10, Kiwi Income Property Trust fell 5c to 90, Hallenstein Glasson lost 10c to 250, and Pumpkin Patch was down 2c at 132.

On the rise were Ports of Tauranga, up 5c at 633, The Warehouse, up 5c at 380, Rakon, 4c higher at 164, and PGG Wrightson, up 5c at 137.

Australia's S&P/ASX200 Index slid 0.5 per cent to 3950. However, dual-listed stocks were generally stronger with ANZ up 30c at 2080, Westpac up 33c at 2483, Telstra up 11c at 415 and Lion Nathan up 7c at 1462.

On Wall Street, stocks ended flat after recovering from an earlier 1 per cent decline.

- NZPA