NZ stocks: NZ shares make modest gains in mixed trade

6.08pm

The New Zealand sharemarket made a modest overall gain on patchy moderate trade today following yesterday's rally on altered interest rate and currency outlooks.

At the 5pm close, the benchmark NZSX-50 gross index was 5.20 points higher at 2812.35, while the NZSX all capital index was 0.67 of a point higher at 931.23.

ASB Securities head of advisory Stephen Wright said the market was slightly firmer on mixed trade and middling turnover. Stocks showed little of yesterday's fizz, when the NZSX-50 rose over 1 per cent in a "relief rally" on news the day's Reserve Bank quarter of a percentage point rate hike would likely be the last for some time.

That announcement saw the local currency drop both against the US dollar and the aussie. Today the currency move continued to benefit dual listed stocks, particularly the banks, Mr Wright said. ANZ and Westpac both closed 30c higher at 2200 and 1950 respectively.

Among dual listed stocks, Lion Nathan rose 8c to 858, Promina was up 8c to 498, Tower was up 5c to 237.

Market leader Telecom ended the session unchanged at 577, and Fletcher Building rose 4c to 545.

Freightways and Mainfreight both moved up today on news they will form a strategic partnership. Freightways was up 3c to 258, and Mainfreight rose 5c to 200. Rival Toll Holdings was up 2c to 272.

Mr Wright said the retail sector looked quite reasonable today with The Warehouse rising a cent to 408, and Briscoes adding 6c to 138.

In the energy sector NGC finished 5c lower at 308, a respectable showing considering it went ex-dividend at 9 cents per share today.

Powerco dropped back 4c to 210. Prime Infrastructure's $2.15 a share takeover offer which closes on Tuesday next week went unconditional on Wednesday.

Contact Energy closed 3c lower at 597, and TrustPower which yesterday posted an improved September half net profit of $40.1m was unchanged at 485.

Guinness Peat Group continued to improve today rising a cent to 208 after their recent sell down. The stock has suffered on news its UK subsidiary Coats faced a 30 million euro fine.

Casino operator Sky City was up a cent at 448. It told shareholders at its annual meeting today it would inevitably face some uncertainty around the introduction of smoke-free laws this year.

Shares in Nuplex fell 4c to 513 after its annual meeting today. Nuplex said it expected a net surplus for the 2004/05 year of $30-$32m.

Retirement village operator Metlifecare dominated early trade with $9.2m of its shares changing hands. Metlifecare shares closed 9c lower at 245.

Other shares to move included: Cavalier Corp down 5c to 480, Fisher & Paykel Appliances down 3c to 400, Hellaby Holdings down 6c to 582, North Port down 3c to 290, NZ Refining Co up 30c to 2630 .

Total turnover was worth $126.76 million and there were 55 rises and 60 falls among the 167 stocks traded.

- NZPA