NZ stocks make healthy gain for the week - Market close

The NZX index gained nearly 1.5 per cent this week and has risen 0.8 per cent so far this year.

The New Zealand sharemarket had another quiet day, ignoring further gains on Wall Street, but it completed the week with a healthy rise of more than one per cent.

The S&P/NZX 50 Index fell sharply at the opening and had a late rise for the second day running to close at 11,875.03 – down 14.6 points or 0.12 per cent after reaching an intraday low of 11,816.91.

The NZX index gained nearly 1.5 per cent this week and has risen 0.8 per cent so far this year.

The ASX exchange across the Tasman was closed for the Australia Day holiday and volumes plunged to 19.95 million share transactions worth $61.66 million. There were 71 gainers and 60 decliners on the main board.

Jeremy Sullivan, investment advisor with Hamilton Hindin Greene, said “we had no Aussie investors involved and our market was thinly traded. People have now digested the latest New Zealand inflation data and there was only a small reaction.

“The market is now eagerly awaiting the company reporting season – that’s the next cab off the rank,” said Sullivan.

Further positive economic data in the United States fuelled hopes that the Federal Reserve will soon cut interest rates.

The gross domestic product grew 3.3 per cent in the fourth quarter, well ahead of the market expectation of 2 per cent, and underscoring continued economic resiliency.

The personal consumption expenditures price index, a favoured indicator for the Fed, was up 2.7 per cent on an annual basis, down from 5.9 per cent a year ago. Core inflation, excluding food and energy, increased 3.2 per cent, down from 5.1 per cent, and inflation from the service sector, which has been running hot, is back at 2.6 per cent - the lowest since 2020.

The S&P 500 climbed to new heights after increasing 0.53 per cent to 4894.16 points; Nasdaq Composite, which has also finished higher for six successive trading days, gained 0.18 per cent to 15,510.5; and Dow Jones Industrial Average was up 0.64 per cent to 38,049.13, a new all-time high.

Electric vehicle manufacturer Tesla, part of the Magnificent Seven technology stocks, fell 12.13 per cent to US$182.63 (NZ$299) after reporting a quarterly revenue increase of just 3 per cent to US$25.2 billion – its slowest gain in three years.

The local market was dragged down by Ebos Group, falling 85c or 2.3 per cent to $36.15; and Meridian Energy declining 15c or 2.61 per cent to $5.60. Summerset Group gave up some of its recent gains, declining 20c or 1.82 per cent to $10.80.

Chorus declined 15c or 1.91 per cent to $7.70; Manawa Energy shed 9c or 2.05 per cent to $4.30; Third Age Health fell 7c or 4.93 per cent to $1.35; and T&G Global was down 4c or 2.05 per cent to $1.91.

Chatham Rock Phosphate gave back 1.2c or 6.98 per cent to 16c; CDL Investments was down 1.5c or 1.84 per cent to 80c; NZX declined 3c or 2.78 per cent to $1.05; and Carbon Fund decreased 4c or 2.17 per cent to $1.80.

Fisher and Paykel Healthcare added 25c to $23.95; Vulcan Steel increased 23c or 2.92 per cent to $8.10; a2 Milk gained 5c to $5; Sanford was up 14c or 3.57 per cent to $4.06; Eroad improved 2c or 2.22 per cent to 92c; and Burger Fuel rose 2c or 7.14 per cent to 30c.

Winton Land rebounded 10c or 3.92 per cent to $2.65; Comvita was up 5c or 2.22 per cent to $2.30; Serko gained 8c or 1.99 per cent to $4.10; AFT Pharmaceuticals increased 11c or 3.09 per cent to $3.67; and NZME added 3c or 3 per cent to $1.03.

Green Cross Health increased 3c or 2.65 per cent to $1.16; Bremworth was up 2c or 3.17 per cent to 65c; and 2 Cheap Cars added 2c or 2.53 per cent to 81c.

MHM Automation was up 1c to $1.68 after shareholders approved the takeover by American Bettcher Industries at $1.70 per share. Bettcher, based in Delaware, is a leading developer of food processing equipment with operations in North and South America, Asia and Europe.