Markets: Telecom retreats from 11-month high

File photo / NZH

Telecom shares retreated from an earlier 11-month high and the New Zealand sharemarket turned away from a strong start as the initial boost from a good showing by United States blue chips faded.

The benchmark NZX-50 index closed up 6.41 points at 3359.07, having edged down less than 1 point yesterday.

Telecom gained 1c to 232 earlier in the session, but closed unchanged at 231.

Fletcher Building held onto a 9c gain to close at 790, but Contact Energy closed down a cent at 625, retreating from a session high of 630.

Among other blue chips, Sky TV was up 9c at 530, and Fisher & Paykel Healthcare rose 1c to 320, but entertainment company Sky City was down 4c at 323 and Auckland Airport shed 1c to 224.

Gold miner OceanaGold slipped 8c to 360 after announcing it was taking full control of its Reefton mine from April, assuming mining operations and maintenance from Stracon Mining.

Infrastructure investor Infratil was down 1c at 192, while network company Vector gained 1c to 248.

Air New Zealand continued to benefit from last week's news that it has bought a 15 per cent stake in Australian-based rival Virgin Blue, a move judged generally positive for the airline by credit rating agency Moody's.

Air NZ shares rose 3c to 145.

Discount retailer The Warehouse was up 6c at 368, adventure gear retailer Kathmandu was up 6c at 216, carpet maker Cavalier was up 6c at 324, and freight company Mainfreight hit a four-year high of 815, up 13c.

Fast food operator Restaurant Brands fell 7c to 244, NZ Refining was down 10c at 459, and Steel & Tube lost 3c to 227.

Among dual-listed stocks, Telstra was up 9c at 370, AMP gained 8c to 670, ANZ jumped 32c to $30.92 and Westpac was up 35c at $29.95.

Australia's S&P/ASX 200 Index was up 23 points, or half a per cent, at 4810.

In the United States, Wall Street resumed its rally, ending higher on gains by tech and natural resources shares as investors see stocks regaining the momentum lost last week.

- NZPA