NZ stocks: Market holds firm with contact steady but NGC lower

The sharemarket held firm in morning trading today with "in play" Contact Energy steady but NGC down further.

Despite a sharpish selloff on Wall Street today, the benchmark NZSX-50 gross index was up 3,96 points at 2454.62 at 11.30am and the NZSX-40 capital index up 4.89 points at 2246.73.

Contact Energy, rumoured to be stalked by Australian Gas Light was unchanged at 510 following yesterday's 10c rise.

NGC, two thirds owned by AGL, fell another 2c to 235 after losing 6c yesterday on related talk that AGL would flog off its holding to make way for a $3 billion bid for Contact.

Edison Mission is looking at selling its 51 per cent holding in Contact to reduce debt on the home front.

Telecom was steady on 568 on turnover worth $8.8 million, just half of the market's total turnover of $20 million.

Insurer and financial services company Tower fell back 3c to 150 after its rose 5c to 153 yesterday on speculation fellow insurer Promina was kicking Tower's tyres as a takeover prospect. Promina was unchanged today after falling 6c to 400 yesterday.

GPG, which today reported a 45 per cent jump in its 2003 net profit, was also unchanged on 195.

Carter Holt Harvey rose 2c to 196.

Air New Zealand was up 2c to 40c today. It announced details of its revamped Pacific islands service today included fare cuts of up to 64 per cent.

News & Media exchangables were up 2c to 440 after APN reported a strong profit result yesterday.

Sky City was up 7c to 207.

Elsewhere, Baycorp Advantage was up 4c to 320, Cavalier was up 4c to 510, DB Group was up 5c to 785, Independent Newspapers was down 5c to 475, and Turners Auctions was down 10c to 380.

There were 35 stocks up and 19 down among 108 traded.

US stocks fell, eroding solid gains made in the previous session as investors awaited key jobs data due on Friday for more clues to the strength of the US economic rebound.

The blue-chip Dow Jones industrial average dropped 86.66 points, or 0.81 per cent, to end at 10,591.48. The technology-focused Nasdaq Composite Index lost 18.14 points, or 0.88 per cent, to end at 2,039.66, based on the latest available data. The Standard & Poor's 500 Index slipped 6.87 points, or 0.59 per cent, to close at 1,149.10.

- NZPA