Telecom's jump to a 12 month high on hefty volume and a surge by The Warehouse after a strong sales report sent the sharemarket higher today.
But much of the rest of the market was lacklustre with a negative lead coming from Wall Street.
AMP dropped 8c to a new record low
of 532. It said recent ownership and management changes would trim its annual profit.
The NZSX-50 gross index closed up just 3.72 points at 2180.59 while the NZSX-40 capital index rose just 0.03 points to 2106.20.
Turnover was $147.2 million on 38.2 million shares, of which $88 was in Telecom.
Telecom spurred the market higher yesterday with its better than expected $709m annual result and the buying continued today. Having gained 12c yesterday, it closed another 4c ahead at 530 and at one point touched a 12 month high of 534.
Citigroup's David Fear said the volume traded in Telecom was impressive.
"It's basking in the positive commentary that came out from management yesterday. The result was better than the market was expecting generally and there was some favourable comment, particularly the dividend outlook going forward."
The Warehouse today reported a 14.2 per cent improvement in fourth quarter sales. Importantly, the retailer's Australian operations, which earlier this year showed signs of struggling, posted a 19.1 per cent increase in sales.
Mr Fear said the sales were better than expected but that might not be the whole story.
"You had good increases in sales right across the board, the Red Sheds, the Australian business and particularly the stationery business.
"It remains to be at what cost. Did they have to give up some margin to achieve these sales and I guess we will know more on that when the company releases it profit numbers."
The Warehouse's move today was "quite a good contrast to Briscoe's yesterday", ABN Amro Craigs' Bryon Burke said.
Briscoe Group, which reported an increase in sales yesterday fell sharply in response but was steady at 179 today.
Tower fell 6c to 123. GPG increased its stake to 17 per cent from 11.65 per cent, having taken up a substantial shortfall in the $211 million four-for-three rights issue. There will be selling pressure on Tower as GPG reduces its stake to 13.75 per cent in line with the terms of its underwriting agreement. Some $2.7 million worth of Tower shares traded.
Fisher & Paykel Healthcare rose 3c to 1160 on volume worth $8.7 million. Other stocks to rise included: Axa, 5c to 387, Cavalier 4c to 474, Mainfreight, 4c to 135, and Port of Tauranga, 5c to 430.
Stocks to fall included: Air New Zealand, 2c to 48, GRD, 8c to 132, Promina, 4c to 268, and Sanford, 5c to 495.
There were 32 rises and 54 falls among the 132 stocks traded.
- NZPA
Telecom's jump to a 12 month high on hefty volume and a surge by The Warehouse after a strong sales report sent the sharemarket higher today.
But much of the rest of the market was lacklustre with a negative lead coming from Wall Street.
AMP dropped 8c to a new record low
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