NZ stocks: Shares rise on active day's trade

An active day on the New Zealand stockmarket saw the benchmark indices head upward today.

By the 5pm close the NZSX-50 gross index was 10 points or 0.5 per cent up at a fresh closing high of 2280.83. The NZSX-40 capital index was 6 points or 0.27 per cent higher at 2180.5. Turnover was $90 million on 31 million shares traded.

UBS Warburg head of research Richard Leggat said trading today was "reasonably active" particularly towards the close which marked the end of the September quarter.

"Generally the market has got a reasonably good tone to it. It was relatively quiet but did come alive in the last hour when the end of the quarter meant a bit of book squaring".

Market leader Telecom finished today's session a cent higher at 516.

Trans-Tasman insurer and financial services group Tower enjoyed a third good day today, Mr Leggat said, gaining 4 per cent or 5c to finish at 134.

Retail stocks were also better today with Hallenstein Glasson up 6c to 296, Briscoe Group up 3c to 186, and the Warehouse up 7c to 552.

"I think that's the business confidence numbers." Mr Leggat said.

This morning it was reported that business confidence had increased for the fourth consecutive month.

Big new listing Freightways' second day on the market was another good one with the company gaining 4c to 176. "It's been a very successful listing," Mr Leggat said.

Elsewhere Fletcher Building found some strength today, feeding on news reports of a shortage of builders caused by the ongoing housing market boom. By the 5pm close the stock was 9c higher at 427. "So again this is a domestic consumer sensitive stock performing quite well", Mr Leggat said.

On the downside Fisher & Paykel Appliances saw a little bit of weakness, falling 20c to 1445, while its Healthcare counterpart was up 20c to 1275. "I think there's been a little bit of switching from Appliances into Healthcare."

While positive performances on overseas markets last night "certainly helped" today's local session, Mr Leggat said the New Zealand market was "treading its own path at the moment".

"Institutions and investors do have a reasonable amount of cash. They've just had most companies pay out their dividends, we've also got the Toll takeover (of Tranz Rail), and various other corporate activity which is likley to fill shareholders pockets with cash. So they're more likely to be looking for things to buy rather than to sell."

Stocks to rise today included: AMP up 7c to 762, Auckland International Airport up 3c to 662, BayCorp Advantage up 3c to 257, Carter Holt Harvey up a cent to 171, Cavalier Corp up 5c to 510, Fletcher Forests up a cent to 129, Guinness Peat Group up a cent to 167, Hellaby Holdings up 12c to 520, Independent Newspapers Ltd up a cent to 456, Infratil up 2c to 224, NZX up 4c to 454, Promina up 4c to 355, Restaurant Brands up a cent to 125, Ryman Healthcare up 2c to 212, Sky City up 5c to 870, Software of Excellence up 3c to 120, Steel & Tube up 4c to 358, Tranz Rail up a cent to 108, and Waste Management up 2c to 374.

Stocks to fall today included: Air NZ down a cent to 50, Contact Energy down 2c to 500, Hirequip down 2c to 84, Michael Hill down 3c to 422, Pacific Retail down 10c to 255, Ports of Auckland down 6c to 800, Sky TV down 2c to 500, and Telstra down 4c to 538.

There were 71 rises and 29 falls among 143 stocks traded today.

- NZPA