“The bank is beating a more hawkish drum and taking a different path to other central banks, and at the moment this seems to be the difference in the performance from our market,” Smith said. “The Reserve Bank of Australia has already signalled that inflation has peaked.”
The S&P/ASX 200 Index was up 0.98 per cent to 7200.7 points at 6pm NZ time, even though inflation in Australia reaccelerated.
The November consumer price index (CPI) revealed annual inflation at 7.3 per cent, up from 6.9 per cent in October and back to the previous level recorded in September.
The ANZ World Commodity Price Index fell just 0.1 per cent in December, as higher aluminium and dairy prices helped offset weaker returns for meat.
ANZ agricultural economist Susan Kilsby said global milk supplies were starting to lift while consumer demand remained weak, a combination expected to keep the price in check this year. “China’s reopening will be positive for demand but that won’t occur immediately.”
Shares were stronger on Wall Street as investors await the release of the December US CPI. The Dow Jones Industrial Average was up 0.56 per cent to 33,704.1; S&P 500 increased 0.7 per cent to 3919.25; and a recovering Nasdaq Composite rose 1.01 per cent to 10,742.63. The Nasdaq has increased 2.5 per cent this year.
Smith said indices globally have made an encouraging start to the year, and historically if Wall Street has risen in the first five days of trading, then the indices will have a gain for the year – which wouldn’t be too hard given the poor performance last year.
On the local market, the recent performers had a day off. Fisher and Paykel Healthcare was down 18c to $23.20; Ebos Group declined 19c to $45.41; Meridian shed 11c or 2.04 per cent to $5.27; and Spark decreased 9c to $5.21.
However, a2 Milk – boosted by China reopening – increased 8c to $7.56; Freightways was up 11c to $9.63; Vector collected 10c or 2.4 per cent to $4.27; and Mainfreight gained 95c to $67.45.
The port companies had a better day. South Port NZ rose 34c or 4.32 per cent to $8.21; Napier Port increased 6c or 2.12 per cent to $2.89; Marsden Maritime Holdings was up 10c or 1.79 per cent to $5.70; and Port of Tauranga gained 4c to $6.28.
In the property sector, Investore was up 3c or 1.99 per cent to $1.54; Property for Industry gained 1.5c to $2.29; Stride was down 3c or 2.1 per cent to $1.40; and Argosy declined 2c or4 1.7 per cent to $1.155.
Scales Corp declined 10c or 2.53 per cent to $3.85; Scott Technology decreased 5c or 1.96 per cent to $2.50; Vista Group fell 9c or 5.77 per cent to $1.47; Move Logistics shed 4c or 3.6 per cent to $1.07; and Winton Land was down 3c or 1.84 per cent to $1.60.
Booster Innovation Fund, another recent performer, decreased 2.8c or 1.96 per cent to $1.402; and investment funds Barramundi shed 3c or 4.17 per cent to 69c, and Marlin Global was down 2c or 2.08 per cent to 94c.
SkyCity Entertainment collected 5c or 1.95 per cent to $2.61; Sanford was up 4c to $4.22; Seeka recovered 5c to $3.06; Rakon rose 4c or 3.92 per cent to $1.06; Ventia Services increased 5c or 1.89 per cent to $2.69; and Accordant Group added 6c or 3.35 per cent to $1.85.
Smartpay Holdings was up 3.5c or 3.18 per cent to $1.135; and Radius Residential Care, which has been advertising heavily on radio recently, gained 1.5c or 5.36 per cent to 29.5c.
Transport and logistics software firm TradeWindow, down 1c or 1.92 per cent to 51c, has gained approval to issue certificates of origin for Australian exporters – a market worth A$1.5 billion (NZ$1.62b) for export documents.
