NZ Shares: Modest early gain on local market

Small rises by leading shares helped the New Zealand sharemarket make modest early gains.

Telecom rose 2c early to $2.61 on top of a 2c gain yesterday, while Fletcher Building gained 4c to $6.40 after losses on the first three trading days of the week having started at $6.86 on Monday.

Around 10.15am the benchmark NZX-50 index was up 5.6 points to 2787.64. Yesterday it closed down 8.1 points reflecting a pause in global equity markets on doubts about an economic recovery.

Other early risers today included Sky TV, up 3c to $4.28, Auckland Airport up 2c to $1.56, and Fisher & Paykel Healthcare up 2c to $2.97.

Shares losing ground early included Steel & Tube, down 10c to $2.85, Hellaby Holdings down 4c to $1.10, and Freightways down 2c to $2.95.

Trustspower lost 6c to $7.85, Ebos Group lost 5c to $5.40, and Nuplex lost 4c to $1.60, all on low volume.

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In the United States, technology shares buoyed the Nasdaq after positive broker comments on Qualcomm, but financial shares' losses held back the Dow and the S&P 500.

Banks were hurt by a broad debt ratings downgrade from Standard & Poor's and uncertainty over the government's extensive proposals for banking industry reform.

The Dow Jones industrial average fell 0.1 per cent to 8497.18, the Standard & Poor's 500 Index was off 0.1 per cent at 910.71, and the Nasdaq Composite Index gained 0.7 per cent to 1808.06.

- NZPA