KEY POINTS:
The sharemarket closed just inside positive territory today, giving up most of its nearly 1 per cent gain earlier in the session and fading alongside 4 per cent rises around the region.
Markets followed Wall Street's strong showing, after analysts said a raised buyout offer for Bear Stearns suggested financial stocks may have reached bottom, and after data that fuelled hopes for a turnaround in US housing.
The benchmark NZSX-50 index closed up 4.57 points at 3430.28, having lost 41 points on Thursday ahead of the Easter break. Turnover totalled $138 million.
"There's still nervousness and a lot of caution out there from investors - although we see these big moves up from the Dow Jones and the likes, investors are afraid that the next day you'll see a big down," said Grant Williamson of Hamilton Hindin Greene.
Second-ranked Fletcher Building, which went ex-dividend to the tune of 24c, was down 26c at 830, Contact Energy was down 14c at 810, and Auckland Airport lost 12c to 220.
"Auckland Airport, I suppose a few nerves that the (Canada Pension Plan Investment Board) deal may not go through - we still have to rely on the Government's decision at the end of the day," Mr Williamson said.
Top stock Telecom was up 3c at 385, Fisher & Paykel Healthcare fell 3c to 284, F&P Appliances was down 3c at 232, and Sky City fell 7c to 356.
Some second-tier stocks regained a little lost ground, notably former market favourites Rakon and Pumpkin Patch, up 15c at 230 and 10c at 176 respectively.
Seafood exporter Sanford rose 10c to 380, TrustPower gained 9c to 775, Tower jumped 10c to 183, and carpetmaker Cavalier was up 12c at 262.
Freightways rose 11c to 306 after it announced it was buying Now Couriers in Auckland for $7.5m plus a possible buyout of $3.5m.
Infratil was up a cent at 211, Vector rose 3c to 180, NZX was up 16c at 685, and Hallenstein Glasson was up 5c at 351.
Air New Zealand lost 5c to 130, The Warehouse was down 6c at 595, Mainfreight was down 3c at 560, NZ Refining lost 25c to 690, and Port of Tauranga was flat at 600.
Dual-listed stocks rose, with ANZ up 100 at 2750, Westpac up 99c at 2859, AMP up 47c at 902, and Lion Nathan up 27c at 1007.
- NZPA