NZ sharemarket moderately stronger

The New Zealand sharemarket was moderately stronger in early trade after stocks in the Untied States chalked up their best day in nearly two months.

As investors welcomed a string of robust earnings reports, Greece appeared close to a bailout deal, easing fears about a wider sovereign debt crisis.

Around 10.15am the benchmark NZX-50 index was up 7.43 points to 3289.7, having yesterday edged up 1.7 points.

Stocks rising early included Freightways up 4c to $3.20, while The Warehouse gained 2c to $3.80, NZ Refining Co was up 2c to $3.71, and Guinness Peat Group up 2c to 91.

Market leaders were unchanged early with Telecom on $2.19, Fletcher Building on $8.35, and Contact Energy on $6.25. Fishing company Sanford slipped 2c to $4.31.

***

In the US, news that Greece was readying severe austerity measures to secure a multibillion-euro aid package spurred widespread relief, and the more beaten-down sectors, such as banks, recouped recent losses for a second day running.

Continuing the generally favourable earnings season, cellphone maker Motorola beat forecasts, while Visa reported higher-than-expected profits and raised its revenue outlook, spurring hopes of a revival in consumer spending.

The Dow Jones industrial average gained 1.1 per cent to 11,167.32, the Standard & Poor's 500 Index rose 1.3 per cent to 1206.78, and the Nasdaq Composite Index added 1.6 per cent to 2511.92.

The Dow and the S&P 500 posted their biggest one-day gains since March 5 while the Nasdaq rose the most since January 4.

- NZPA