Market commentaries

WELLINGTON: The New Zealand benchmark index dipped back below 8000 as Genesis Energy and Mainfreight dropped, while Xero recovered somewhat from recent selling.

The S&P/NZX50 Index fell 8.06 points, or 0.1%, to 7999.94. Within the index, 23 stocks fell, 19 rose and eight were unchanged. Turnover was $186 million.

Metro Performance Glass led the index lower, down 4.4% to 86c, while Genesis dropped 3.5% to $2.375.

Forsyth Barr David Price, said Genesis released monthly customer statistics yesterday and they ‘‘had their secondworst month ever, losing 3400 customers’’.

Mainfreight fell 1.5% to $23.75. The transport and logistics group posted firsthalf results that missed its own expectations, but is still trading at a high enough multiple to leave it vulnerable to any further disappointment. (see report page 25)

‘‘The price is about what I’d expect to see in terms of profit forecast cuts,’’ Mr Price said.

Xero was the best performer, up 4% to $32.67, bouncing back from recent selling after it announced its plans to delist from the NZX. The shares are down 4% since that announcement last Thursday.

Kathmandu Holdings gained 2.2% to $2.38 and Skycity Entertainment Group rose 1.8% to $3.92.

Outside the benchmark index, Abano Healthcare Group dipped 0.2% to $9.75. It said firsthalf profit might fall because recent dental clinic acquisitions across the Tasman would not deliver immediate gains and the relocation of its biggest Lumino practice attracted some costs.

A The Australian sharemarket has closed lower after sharp falls in oil and base metal prices weighed on energy and mining companies.

The benchmark S&P/ASX200 was down 0.58%, at 5934.2 points, following on from Tuesday’s biggest fall since September.

Iron ore prices firmed slightly overnight while weakerthanexpected industrial output data from China sparked a pullback in base metals prices, including a 5.7% fall in nickel.

Patersons Securities economist Tony Farnham said the soft Chinese data also weighed on global oil prices overnight alongside an International Energy Agency report that reduced its outlook on oil demand.

‘‘The International Energy Agency report was less positive about demand for oil going forward and talked up US production,’’ Mr Farnham said. ‘‘There is also a degree of cynicism about the upcoming Opec (Organisation of the Petroleum Exporting Countries) meeting and whether it will deliver production cut extensions.

‘‘All of these factors led to a sell down in energy and nonrural commodity prices and the sectors that feed off them went down as well.’’

Meanwhile, weakerthanexpected domestic wage growth data released yesterday has driven the Australian dollar lower.

Australian Bureau of Statistics data showed wages rose 0.5% in the three months to September 30, missing market expectations of a 0.7% rise.

Mr Farnham said the poor wages growth meant the Reserve Bank of Australia was unlikely to lift interest rates any time soon and as a result, the local currency fell. — BusinessDesk/AAP