New Zealand shares fell, led by Cavalier, after the carpet maker said charges to restructure its carpets business may wipe out profits this year. SkyCity Entertainment Group gained as debate continues about its deal to build a conference centre in exchange for more slot machines.
The NZX 50 Index fell 8.95 points, or 0.3 per cent, to 3516.23. Within the index, 24 stocks fell, 20 rose and six were unchanged. Turnover was $65.5 million, making it one of the lightest trading days this month.
Cavalier fell 11 per cent to $1.89. The nation's only listed carpet maker said today it may post a full-year loss as it takes steps to restructure its broadloom carpet business, ruling out any dividend payment. The shares fell 11 per cent to a two-month low.
"For every seller there is a buyer so you may see some bargain hunting in the stock - but only for the more patient investor," John Elsom, investment advisor at Craigs Investment Partners.
SkyCity rose 2.1 per cent to $3.90. The casino and hotel company is hoping to close a deal to build a national convention centre in Auckland in exchange for a law change that would allow it to operate more slot machines.