Market commentaries
WELLINGTON: New Zealand shares rose yesterday, led by Auckland International Airport, Spark and Fisher & Paykel Healthcare and as buyers returned to a2 Milk. Gentrack Group fell as earnings growth disappointed some bullish investors.
The S&P/NZX 50 Index rose 12 points, or 0.1%, to 8647.86. Within the index, 12 stocks rose, 30 fell and eight were unchanged. Turnover was $193 million, of which a2 Milk made up about $50 million and Spark contributed $30 million.
The local market shook off early selling pressures from overseas which included a selloff on Wall Street overnight, partly on uncertainty over Italy’s government and USChina trade friction. Spark rose 1.8% to $3.705, a sevenmonth high. Te company said last week it was bringing forward restructuring costs and accelerating its Quantum Programme to transform the company into the operator with the lowest costs.
‘‘Our market has done extremely well today, given the pressure from overseas,’’ Grant Williamson, a director at Hamilton Hindin Greene. said.
A2 rose 3.1% to $10.88, leading the market higher, having led the market lower on Tuesday.
F&P Healthcare rose 0.8% to $13.10, having fallen yesterday.
Among other bluechip companies, Auckland International Airport climbed 1.5% to $6.65, leading the market higher.
Gentrack dropped 6.7% to $6.95.
Australian & New Zealand Banking Group fell 2.7% to $29.40. Westpac Banking Corp fell 2.4% to $30.15.
Stride Property rose 0.6% to $1.78 after the group posted flat annual earnings as it beds in a new strategy and reshaped portfolio.
Outside the benchmark index, mobile voucher company Plexure’s shares soared 15% to 22c.
Green Cross Health was unchanged at $1.67 as was SeaDragon at 0.5c.
The Australian sharemarket fell below 6000 points to a onemonth low and financial stocks slumped under investor concerns about possible economic fallout from Italy’s political uncertainty.
The benchmark S&P/ASX200 index closed down 28.9 points, or 0.48%, at 5984.7 and the broader All Ordinaries index was down 27.9 points, or 0.46%, at 6093.8 points.
Rakuten Securities chief operating officer Nick Twidale blamed the market selloff on growing concerns Italy would face another election that might result in an antiEuro government and destabilise the eurozone further. Added to further tension with regards to the US trade negotiations with China.
Locally, the financials index was the hardest hit, the major banks closing lower.
ANZ dropped 1.8% to $27.21, Westpac fell 2% to $27.85, Commonwealth Bank shed 1.1% to $69.60 and National Australia Bank fell 0.9% to $26.80.
Mining giants Rio Tinto and BHP Billiton also lost ground, falling 1.2% to $82.02 and 0.3% to $32.20, respectively.
Oil falling to about $US66.70 a barrel during the trading session hurt energy stocks, Mr Twidale said.
The utilities sector gained as investors sought safe haven stocks and the healthcare sector also found support.
The Australian dollar traded about US75.10c at 1630 AEST, down from US75.35c on Tuesday.
National turnover was 3.2 billion securities traded worth $8.6 billion. — BusinessDesk/AAP