NZ stocks: Market closes down for fourth consecutive session

The New Zealand sharemarket finished down for the fourth consecutive session following a dip in the share price of bourse heavyweight Telecom.

At 5pm, the benchmark NZSX-50 index was down 7.37 points at 2448.75, while the NZSX-40 index was down 6.97 points at 2266.11.

Both indices have finished down since the Reserve Bank of New Zealand surprised the market by raising the official cash rate 25 basis points to 5.25 per cent on Thursday.

Today, Telecom shares finished down 2c at 559 ahead of its first half result, out on Thursday. There was $36.7 million worth of Telecom shares traded today.

The market expects Telecom's December half result to show a net profit of about $366 million, up from the $301 million surplus for the same period last year.

On NZX today, There was $93.8 million worth of shares traded on volume of 46.4 million.

Among the 134 stocks to move were 33 rises and 65 falls.

ABN Amro Craigs broker Matt Willis said the market saw good volume today with a number of stock-specific stories about.

Insurer Tower was prominent in trading with $12.9 million worth of its shares -- which closed unchanged at 132 -- sold.

Guinness Peat Group snapped up the shares, taking its stake to 19.4 per cent. GPG director Tony Gibbs told NZPA that GPG was "consolidating" its previous 17.1 per cent stake.

Contact Energy shares dipped 4c to 538 as speculation rises on whether its majority shareholder -- Edison Mission -- will quit its stake.

Contact shares have shown weakness since the resignation of Edison Mission chief executive Tom McDaniel from its board.

Mr Willis said the Edison's 51 per cent shareholding in Contact was clearly on the block, along with other Edison assets.

Meanwhile, Sealegs shares finished up 0.5c at 4.3 on news it had struck a deal with Dubai-based investment company Albwardy Investments to manufacture its amphibious boats.

Other shares on the move included: AMP down 8c at 494, Freightways up 3c at 236, Hellaby down 5c at 505, Infratil down 7c at 278, Mooring Systems down 7c at 258, NZX up 15c at 640, Promina down 6c at 350, Sky TV down 5c at 505, Steel & Tube up 8c at 404, and TrustPower down 10c at 685.

Overseas, the Dow Jones ended up 11.11 points at 10,499.18, the Standard & Poor's 500 Index was up 4.13 points at 1135.26, and the Nasdaq Composite Index was down 3.00 points at 2063.15.

- NZPA