Market close: NZ shares insulated as Aussie resource stocks take a hit

The New Zealand sharemarket was flat, falling 0.98 points or 0.01 per cent. Photo / NZME

The defensive nature of the New Zealand sharemarket came in handy and traded flat while the dominant resource stocks in Australia took a hit.

On a very quiet trading day, the S&P/NZX 50 Index closed the new week down 0.98 points or 0.01 per cent to 10,588.2 after reaching an intraday low of 10,553.49 and high of 10,630.69.

There were 60 gainers and 78 decliners over the whole market on light volume of 22.54 million share transactions worth $83.94 million.

The Australian S&P/ASX 200 Index was down 0.63 per cent to 6434.1 points at 5.45pm NZ time as the resource sector slipped because of weakening iron ore prices.

And multi-national commodity trading and mining company, Glencore, warned about higher costs and greater discounts in selling coal.

Matt Goodson, managing director of Salt Management Funds, said the New Zealand market – with its utilities and dividend-paying stocks – was insulated from all that.

"We don't have the same resource stocks, and there's been a lot of market strength in them in Australia lately," he said.

BHP was down 5.15 per cent to A$40.33 ($44.34); Fortescue Metals Group had fallen 8.81 per cent to $16.96; Champion Iron had declined 10.612 per cent to $5.39; Paladin Energy had decreased 10.77 per cent to 58c; and Whitehaven Coal was down 6.4 per cent to $4.68.

Goodson said the property stocks bounced back in Australia, with the sector being up 3.5 per cent.

At home, market leader Fisher and Paykel Healthcare laid a foundation by rising 38c or 1.99 per cent to $19.48; and top 10 stock Auckland International Airport chipped in, gaining 7.5c to $7.185.

Ebos Group was up 30c to $39.44; Chorus increased 7c to $6.92; and Pacific Edge gained 3c or 4.23 per cent to 74c.

NZME increased 5c or 4.39 per cent to $1.19 after announcing a special dividend of 5c a share, equating to $9.7m, because of slower than anticipated progress of its share buyback programme. The dividend will be paid on July 12.

Move Logistics gained 2c or 1.92 per cent to $1.06 after telling the market it is proceeding with an alternative sea freight service (to the inter-island ferries) between the North and South Islands, initially using the New Plymouth and Nelson ports. The first sailing will be next year after Move obtained $10m co-funding from Waka Kotahi (NZ Transport Agency).

Retailer KMD Brands increased 2c or 1.83 per cent to $1.11, and Michael Hill International gained 2c or 1.96 per cent to $1.04.

Other gainers were Accordant Group rising 5c or 3.03 per cent to $1.70; Heartland Group Holdings increasing 4c or 2.14 per cent to $1.91; and hospitality group Savor picking up 2.5c or 6.41 per cent to 41.5c.

Contact Energy was down 7c to $7.07; Manawa Energy declined 11c or 1.8 per cent to $6; Mainfreight shed 90c to $68.06; Freightways decreased 11c to $9.17; and Infratil fell 23c or 2.93 per cent to $7.61.

Fletcher Building was down 9c or 1.89 per cent to $4.67; Port of Tauranga declined 9c to $6.15; Napier Port fell 11c or 3.9 per cent to $2.71; Synlait Milk decreased 6c or 1.84 to $3.20; and Vista Group shed 6c or 3.61 per cent to $1.60.

Pushpay Holdings slipped 4c or 3.13 per cent to $1.24; Gentrack was down 6c or 4.11 per cent to $1.40; DGL Group declined 12c or 4.43 per cent to $2.59; Vulcan Steel shed 22c or 2.58 per cent to $8.30; Vital Healthcare Property Trust fell 10c or 3.66 per cent to $2.63; and Restaurant Brands was down 34c or 3.11 per cent to $10.61.

Transport technology firm Eroad was down 6c or 3.31 per cent to $1.75, having fallen from a high of $6.70 set on July 23 last year. Other technology companies Smartpay Holdings declined 3.5c or 5.19 per cent to 64c, and Plexure Group was down 2.2c or 12.29 per cent to 15.7c.

Promisia Healthcare adjusted its full-year earnings to March after discovering a timing issue in the value of its aged care facility, Ranfurly Manor. Net profit was $1.86m on revenue of $20.07m, up 175 per cent. Promisia's share price was unchanged at 0.002c.