NZ stocks rebound as Wall St goes on a bull run - Market close

The Dow Jones Industrial Average went over 38,000 points for the first time with Wall Street now in a bull run. Photo / 123RF

The New Zealand sharemarket rebounded 1 per cent, fuelled by strong performances offshore with Wall Street at the centre of action in a bull run.

The S&P/NZX 50 climbed steadily at noon after hitting a low of 11,645.4 and closed at 11,802.88, up 117.93 points or 1.01 per cent.

There were 81 gainers and 41 decliners on the main board, and trading resumed normal service with 43.91 million shares worth $121.45 million changing hands.

Matt Goodson, managing director of Salt Funds Management, said the local market ground higher as the day went by on the continuation of rising offshore bourses.

The Hong Kong Hang Seng Index had risen 2.54 per cent to 15,341.39 points; the Nikkei 225 Index in Tokyo was up 0.28 per cent to 36,660.93; and the S&P/ASX 200 Index had increased 0.5 per cent to 7513.7 at 6pm NZ time.

The Nikkei is at a 34-year peak and is up more than 9 per cent this year, with investors buoyed by the prospect of stimulus continuing from the Bank of Japan and interest rates remaining in negative territory

Goodson said the markets were boosted by rumours that China will spend several hundred billion dollars supporting the local sharemarket.

The Dow Jones Industrial Average, started in 1896, went over 38,000 points for the first time after gaining 0.36 per cent to 38,001.81 points. The S&P 500 reached a new high after increasing 0.22 per cent to 4850.43 and the technology-driven Nasdaq Composite was up 0.32 per cent to 15,360.28.

Commentators said the moves signalled that Wall Street is indeed in a bull run that began in October 2022 after stocks plunged earlier that year. Wall Street’s strength may depend on whether the Federal Reserve successfully engineers a soft landing, cooling the economy to lower inflation while avoiding a recession.

At home, market leader Fisher and Paykel Healthcare increased 57c or 2.46 per cent to $23.75; Ebos Group collected 41c to $36.35; Freightways was up 15c or 1.82 per cent to $8.40; Infratil gained 23c or 2.25 per cent to $10.45; Chorus added 10c to $8.35; and Summerset improved 15c to $10.55.

Skellerup Holdings was up 10c or 2.1 per cent to $4.86; Fletcher Building gained 10c or 2.16 per cent to $4.73; Port of Tauranga collected 15c or 2.85 per cent to $5.41; and Vista Group increased 8c or 5.41 per cent to $1.56.

Michael Hill was up 4c or 4.35 per cent to 96c; Smartpay added 4.5c or 2.87 per cent to $1.615; Gentrack collected 16c or 2.5 per cent to $6.56; NZME increased 4c or 4.04 per cent to $1.03; Savor improved 2c or 7.41 per cent to 29c; and Chatham Rock Phosphate rose 1.7c or 12.59 per cent to 15.2c.

In the energy sector, Meridian increased 10c or 1.82 per cent to $5.60; Contact was up 9c to $8.09; Manawa gained 13c or 3.04 per cent to $4.40; and Mercury picked up 5c to $6.55.

Tourism Holdings gained 9c or 2.49 per cent to $3.70 after telling the market it is buying South Australian family-owned dealership Camperagent RV Centre for A$11.9m (NZ$12.87m) comprising A$4m goodwill and A$7.9m assets, mainly vehicle stock. Tourism Holdings said the purchase is expected to meet 15 per cent return on funds within its first year.

In the property sector, Stride was down 4c or 2.94 per cent to $1.32; Investore declined 4c or 3.45 per cent to $1.12; and Argosy decreased 2.5c or 2.16 per cent to $1.135.

Winton Land shed 8c or 2.99 per cent to $2.60; Restaurant Brands fell 14c or 3.5 per cent to $3.86; and Briscoe Group was down 8c or 1.74 per cent to $4.52.

Transport and logistics software firm Trade Window gained 1c or 5 per cent to 21c after reporting an additional $1.6m revenue in the third quarter, bringing the total to $4.6m and 94 per cent of the previous year’s result with one quarter to run.

Trade Window, which has reduced staff by 40 per cent to reduce costs, confirmed 2024 financial year revenue of $6m-$6.5m.

Software firm Geo Limited has fallen from a peak of $5.31 in early January 2014, soon after listing, to present-day 1.2c and will be delisting from the NZX market on February 12, with the final day of trading on February 8.

Established in 2009 on a software-as-a-service model, Geo provided a job management app for tradies and opened offices in New Zealand, Australia, the UK and the United States.