Annual inflation is now running at 11.1 per cent in the UK, the highest in 41 years and the Bank of England has warned of the longest recession on record. But the bank is confident of eventually achieving a 2 per cent inflation rate with only “modestly higher interest rates.”
At home, medical devices manufacturer Fisher and Paykel Healthcare rose 64c or 3.31 per cent to $19.98, having distanced itself from the low of $18.10 a month ago.
Mainfreight also had a more positive day, gaining 25c to $69.25; Port of Tauranga increased 6c to $6.21; and Skellerup Holdings added 15c or 2.75 per cent to $5.60.
It was a mixed bag in the energy sector, with Mercury up 12.5c or 2.35 per cent to $5.435; Meridian gaining 5c to $4.60; Contact falling 16c or 2.12 per cent to $7.39; and Vector down 5c to $4.15.
Fuel importer Channel Infrastructure gained 2c to $1.48 after upgrading its full-year operating earnings (ebitda) to $82m-$86m, from $76m-$84m, and increasing its dividend range to 9-11c a share, from 8-11c. Channel expects revenue of $125m-$128m, from $116m-$120m because of the 8.4 per cent increase in the Producers Price Index.
Synlait Milk was down 1c to $2.96, coming under selling pressure before the stock is removed from the MSCI Small Cap Index at the end of the month.
On the eve of its latest annual meeting, a2 Milk gained a further 5c to $6.64. Smith said investors are looking forward to a trading update and it appears sales are going pretty well in China. This will also benefit Synlait.
Property companies had a bounce-back. Argosy increased 4c or 3.4 per cent to $1.215; Investore was up 4c or 2.7 per cent to $1.52; Kiwi gained 2.5c or 2.89 per cent to 89c; and Goodman Trust added 1.5c to $2.07.
Other gainers were NZME up 3c or 2.59 per cent to $1.19, and Move Logistics increasing 2c or 1.8 per cent to $1.13.
Auckland International Airport, up 1c to $7.81, reported a continuing improvement in business through its terminals. In September, total passengers of 1.175 million were 71 per cent of pre-Covid levels. In October the number reached 1.28 million, 72 per cent of pre-Covid. International passengers were above 500,000 for both months.
Retirement village operator Summerset Group, down 14c to $9.55, has bought its seventh property in Victoria, a 9.96ha site at Drysdale just east of Geelong. Summerset is developing its first Australian village at Cranbourne North and has received building consent for the second at Chirnside Park in Melbourne.
Vulcan Steel fell 32c or 3.69 per cent to $8.36; Delegat Group shed 10c to $10; SkyCity declined 5c to $2.84; Gentrack decreased 3c or 1.8 per cent to $1.64; and Green Cross Health fell 3c or 2.44 per cent to $1.20.
Among other decliners, Cooks Coffee was down 1.5c or 4.41 per cent to 32.5c; Allied Farmers gave up 3c or 4 per cent to 72; and NZ King Salmon Investments was down 1.5c or 6 per cent to 23.5 per cent.
Foley Wines, declining 2c to $1.36, told shareholders at the annual meeting that it is targeting 600,000 case sales this financial year, up from 525,000 cases last year, and would generate operating profit of about $10m.
Transport and logistics software firm TradeWindow, unchanged at 65c, reported a net loss of $7.06m on trading income of $2.4m, up 16 per cent, for the six months ending September. TradeWindow has $7.3m in cash and expects full-year trading income of $5.5m-$7m with the contribution of its new acquisition Rfider.
Chatham Rock Phosphate, down 0.005c or 2 per cent to 24.5c, has enlisted Australian civil and mining contracting firm NRW Holdings to provide services for developing the Korella North Mine in Queensland.
