NZ stocks: Market on the up despite negative markets offshore

A quiet session featuring a 1.6 per cent rise in Telecom boosted the key indices into the black today.

The benchmark NZSX-50 gross index closed up 21.54 points, or 0.93 per cent, at 2333.59, while the top-40 capital index rose 0.96 per cent to 2231.32.

Turnover of 28.10 million was valued at $65.42 million, topped by Telecom's $17.2 million worth of shares.

Barry Lindsay of First NZ Capital said the New Zealand market withstood significant market falls overseas.

"We certainly defied those international trends and proved to be a real outperformer -- which would be unexpected given that local sentiment is often influenced by these offshore trends," Mr Lindsay said.

Market leader Telecom buoyed the indices with its 8c climb to 497.

Fisher & Paykel Healthcare rose 20c to 1235 on a positive outlook, despite a 25 per cent fall in September half-year profit to $25.2 million .

Sister stock F&P Appliances rose 1c to 1499.

The Warehouse gained 17c to 585, Tower was up 1c 135, Auckland Airport gained 9c to 695, Casino company Sky City rose 5c to 922, Sky TV was up 7c at 523, Contact Energy gained 9c to 513, and Carter Holt Harvey was up 1c at 185.

Fletcher Forests lost 1c to 131, Guinness Peat Group was down 1c at 181, Ports of Auckland lost 5c to 800, Nuplex was down 1c at 417, and BIL International lost 1c to 66.

Of the companies to hold annual meetings today, Fletcher Building closed up 6c at 418, Independent Newspapers Ltd lost 1c to 490, and Tourism Holdings Ltd was down 6c at 159.

Fletcher Building said today that first-quarter sales were stronger than expected, and it no longer forecast a slowdown in construction activity or demand this year.

THL went in the opposite direction after warning at its AGM that its first half profits were not expected to beat the $3.8 million in the same period last year .

THL shares have risen strongly in the last six months, gaining 90 per cent since May.

"Somewhat inevitably if it wasn't going to be good news, it was always going to suffer a pull-back," Mr Lindsay said. "But they say the important tourist season is yet to arrive."

Although not listed on the New Zealand Exchange, Bank of New Zealand owner NAB today reported a weaker-than-expected net profit of A$4.0 billion ($4.6 billion).

Its failure to give specific guidance about its interest in AMP's Australian arm helped depress AMP shares, which lost 23c to 712.

There were 48 rises and 43 falls on the 143 stocks traded.

On Wall St, the Dow Jones dropped 0.5 per cent at 9756, the Standard & Poor's 500 Index was down 0.6 per cent at 1047, and the Nasdaq Composite Index fell 1.5 per cent to 1941.

- NZPA