KEY POINTS:
Encouraged by record-breaking markets offshore, the local sharemarket today shrugged off concern about the dollar rising to a new high and an impending interest rate hike.
The benchmark NZSX-50 index added to yesterday's 0.9 per cent spike with a 26 points (0.6 per cent) gain to 4320.274 and was just 30 points shy of its all-time high set on May 24.
Turnover was worth $154 million. Rises outnumbered falls 64 to 57 among the 157 stocks traded.
News that the dairy farmer payout is likely to be well higher than even the record level payout forecast six weeks ago, fuelled bullish sentiment.
First NZ Capital broker Malcolm Davie said equities as an asset class had returned to favour.
"We are seeing records set all over the place - Australia, New York - it's the cycle of cash more than anything else.
The Dow Jones Industrial Average closed above 14,000 for the first time.
Here, No.3 stock Contact Energy continued its stellar run, climbing 10c to set a new high of 945c. Contact is seen as good defensive stock if times get tougher. Fellow power company Trustpower surged 30c to 865.
No.2 stock Fletcher Building was not to be outdone, rising 31c to 1273 with some analysts again re-rating the stock up.
Top stock Telecom was left behind but still eked out a 3c gain to 487.
It was a red letter day for the exchange with a rare listing from an IPO - just the second this year. The long-awaited listing of Pike River Coal began well enough, debuting at an 8 per cent premium, but interest petered out and it ended on an inauspicious 102, up 2c on the issue price.
It was a case of another day, another takeover. Australian private equity company Ironbridge Capital nabbed total control of MediaWorks, owner of TV3. Its subsidiary HT Media said it would launch a second, higher bid at 268 a share for the 17.4 per cent of shares in MediaWorks it had been unable to buy in last month's takeover bid.
HT had already secured a lock up agreement with 8.7 per cent owner Brook Asset Management that will take it over the 90 per cent threshold whereby it can compulsorily acquire the rest. Brokers were unsurprised by the bid but taken aback by how quick it soon it followed the earlier bid.
MediaWorks shares rose 20c to 265.
Another takeover target, Tourism Holdings, ended unchanged on 270 with just one day to go before MFS Living and Leisure's 280-per-share takeover offer expires. MFS had acceptances for 74.3 per cent of THL shares and brokers would not offer opinions on whether the bid would succeed.
Ryman rose 1c to 216 following news that AMP Capital plans to float 80 per cent of its rival retirement home operator Summerset.
Among the smaller stocks, Vending Group jumped 10c to 105.
- NZPA