The technology-driven Nasdaq was up 1.45 per cent to 13,787.92 and has risen 31.73 per cent for the year. Apple, now the world’s first US$3 trillion company, reached a new all-time high, rising 2.31 per cent to US$193.97 (NZ$315.34).
Across the Tasman, the S&P/ASX 200 Index was up 0.64 per cent to 7249.1 points at 6pm NZ time.
There is strong market interest in the next moves by the Australian and New Zealand Reserve Banks. The market is 50/50 on whether the Australian bank will this week hike its official interest rate another 25 basis points to 4.35 per cent to tame stubbornly high inflation. Goodson said rental inflation is very strong in Australia.
The New Zealand bank meets next week and economists expect the official cash rate to remain on hold at 5.5 per cent. Goodson said there has been no information to suggest that will change. “Goods inflation has come down but services and wage inflation hasn’t.”
ASB Bank said events have been generally in line with the Reserve Bank’s view that it has done enough to get inflation back into the target band (1-3 per cent) next year. “If anything, the slight gross domestic contraction in the first quarter reinforced that view.”
Manuka honey producer Comvita increased 13c or 4.47 per cent to $3.04 after telling the market it has signed a long-term supply deal with Ole supermarkets, one of China’s biggest premium retail chains. Details of the agreement, made during Prime Minister Chris Hipkins visit, are presently being finalised.
Goodson said Comvita signed a memorandum of understanding with an existing client and “we don’t know how much product they will buy. But it’s encouraging news and there’s been a fulsome market reaction. Comvita has been performing well and its share price has re-traced from an oversold position.”
Ebos Group increased 75c or 2.04 per cent to $37.50; Spark was up 5c to $5.14; Ryman Healthcare improved 9c to $6.67; and Seeka gained 7c or 2.68 per cent to $2.68.
T&G Global was up 6c or 3.02 per cent to $2.05; Green Cross Health rose 4c or 3.05 per cent to $1.35; PGG Wrightson added 6c to $4.15; and Colonial Motor Company gained 13c to $8.73.
In the energy sector, Manawa increased 8c to $5.03; Vector was up 3c to $4.04; and Mercury was down 5c to $6.45.
Chorus declined 10c to $8.325. Goodson said there is a real division of views in the market over Chorus. “Overseas investors believe the stock should be trading at a premium to its regulatory asset price, but domestics take the view that Chorus may not be competitive in fixed wireless if it charged the full amount.”
Mainfreight fell $2 or 2.78 per cent to $70; Freightways declined 8c to $8.24; a2 Milk shed 8c to $5.278; Restaurant Brands decreased 10c to $6.15; and Skellerup Holdings was down 13c or 2.83 per cent to $4.46.
Napier Port shed 8c or 3.2 per cent to $2.42; Channel Infrastructure declined 2c to $1.45; and Hallenstein Glasson was down 7c to $6.07.
Tower, down 0.005c to 63c, has conditionally sold its Solomon Islands insurance business to Trans Pacific Assurance for nearly $3.3m.
Cancer diagnostics company Pacific Edge, up 0.001c to 8.8c, has updated its billing policy in the United States to enhance patient responsibility where the patient’s insurer declines to pay for a Cxbladder test.
Pacific Edge is also updating its patient assistance programme to assist lower income patients with making their bill more affordable. Medicare funding for Cxbladder tests ends on July 17. Pacific Edge’s share price dropped more than 75 per cent on the day that was announced last month.
Vital, up 1c or 4.88 per cent to 21.5c, has extended its radio network contract with St John Ambulance through to March 2027, with a further two year right of renewal.
Cooks Coffee, down 0.005c or 2 per cent to 24.5c, said in a newsletter that it has opened five more stores in Britain and Ireland with a further five planned in June, and the company projects a positive cash inflow of $600,000 in the 2024 financial year.
