KEY POINTS:
The New Zealand sharemarket hit a year low shortly after opening down today, falling rapidly following declines in the four previous trading days this year.
By 10.35am the benchmark NZSX-50 index was down 35.17 points to 3893.24. That took it below lows in mid-December and August to levels last seen in December 2006, with today's early decline following a sharp drop in US stocks.
The market opened with falls outnumbering rises by 23 to seven, among 61 stocks traded. Turnover was 5.9 million stocks worth $26.3 million.
Among leading stocks Fletcher Building was down 17c early to 1090, on top of a 12c fall yesterday.
Contact Energy was down 9c to 820, Fisher & Paykel Healthcare lost 5c early to 341, Telecom was down 4c to 420, and Auckland International Airport down 2c to 271.
Also falling early was Guinness Peat Group, off 2c to 164, Hallenstein Glasson down 3c to 398, Mainfreight down 4c to 640, Michael Hill down 6c to 106, and Sky TV down 6c to 570.
The few small gains included Hellaby Holdings up 1c to 247 and ING Property Trust up 1c to 107.
* * *
US stocks dropped sharply today after Bloomberg reported that AT&T saw softness in its consumer business, sending shares of the phone company tumbling more than 6 per cent and raising more fears about recession.
The chief executive of AT&T, the largest US phone company, said the softness it faced in its consumer segment stemmed from slowing economic growth.
- NZPA