NZ stocks: Sharemarket slides on lack of news

After last week's rally the New Zealand sharemarket slid today with a lack of news to give it direction.

The benchmark NZX-50 gross index eased 15.41 points to 3779.76, while the NZX all capital index fell 2.66 points to 1099.68.

Falls outnumbered rises by 52 to 50 of the 149 stocks traded, with turnover of 27.9 million worth $114.4 million.

Grant Williamson, a partner with Hamilton, Hindin, Greene, said the market had been in a holding pattern for much of the day.

"It's really looking for some influence to give it some direction," he said.

He thought many brokers in this country were putting a lot of work into the Australian resource sector, "where all the action seems to be".

Unfortunately exposure to those stocks could not be gained through the New Zealand market.

Overall the New Zealand sharemarket was lacking news, with no major announcements in the marketplace, leading to rather quiet trading, Mr Williamson said.

In early trading the gross index went as low as 3777 points, before starting a climb at lunchtime which peaked around 3795 points shortly before 3pm and then fell away in the last hour.

Mr Williamson said the main influence on the afternoon trading was probably market leader Telecom, which started the day down before reversing the decline, ending 2c up at 575.

"There's no particular reason for the turnaround apart from some buying out of Australia," he said.

Market number two Contact Energy ended the day down 14c on 782, and Fletcher Building was down 10c at 900.

Both stocks had been volatile recently and today's declines were on light trading, Mr Williamson said.

Other falls included Fisher & Paykel Healthcare down 9c to 413, Infratil down 4c to 436, Sky TV down 9c to 608, and Tenon down 4c to 361.

Rising stocks included Fisher & Paykel Appliances up 4c to 467, Gullivers Travel up 5c to 179, Port of Tauranga up 4c to 526, Pumpkin Patch up 5c to 412, and Sky City up 3c to 546.

- NZPA