KEY POINTS:
The sharemarket ended its last full week before Christmas with a late 1 per cent surge, as bargain hunters inspected top stocks.
The benchmark NZSX-50 index closed up 45.95 points at 3993.51 on turnover totalling, reversing heavy losses at the start of the week.
"It's been quite a positive day on the market today, mainly in reaction to firmer offshore markets," said Hamilton Hindin Greene partner Grant Williamson.
"We are starting to see some investor interest return to the market, mainly on bargain hunting as investors start to pick up a few stocks which have been languishing somewhat for a wee while now."
Auckland International Airport shares were up 2.9 per cent, or 8c, at 280 after the company announced it had signed a confidentiality deed with an international party interested in the airport.
The announcement comes a week after the Canada Pension Plan Investment Board (CPPIB) opened its $3.6555 a share bid to take its stake in the airport to 40 per cent.
Earlier, the shares hit a session high of 289, up 6 per cent.
Top stock Telecom rose 1.8 per cent to 442.
"I think investors are encouraged that the share price hasn't made any new lows in the last number of months when markets have been weak," Mr Williamson said.
Contact Energy shares were up 15c at 825, on top of a 4c rise yesterday after announcing it and 51 per cent owner, Origin Energy, had bought the NZ oil and gas assets of Swift Energy.
Fletcher Building was down 5c at 1120, Fisher & Paykel Healthcare rose 5c to 338, and F&P Appliances was down a cent at 337.
Sky TV was up 9c at 585, and Sky City rose 3c to 455.
Air New Zealand rose 8c to 190 after it announced a $45 million heavy maintenance contract with Virgin Blue.
The Warehouse was up 9c at 560, TrustPower gained 15c to 825, Port of Tauranga was up 13c at 680, NZ Refining rose 18c to 798, and Hallenstein Glasson was up 13c at 370.
PGG Wrightson rose 7c to 210 and NZ Farming Systems Uruguay recovered 4c to its issue price of 150.
Among the handful to retreat, Vector fell 4c to 225, Skellerup lost a cent to 94, Kiwi Income Property Trust fell a cent to 132, Tower was down 5c at 229, and Methven fell 6c to 198.
Dual-listed stocks made strong gains, with Westpac up 30c to 3150, ANZ up 30c to 3080, Lion Nathan up 60c to 1090, and AMP 24c higher at 1125.
- NZPA