Market commentaries
WELLINGTON: New Zealand shares weakened from recent highs yesterday, led lower by Ryman Healthcare and Fletcher Building.
The S&P/NZX50 Index dropped 46.76 points, or 0.5%, to 9048.63. Within the index, 23 stocks fell, 15 rose and 12 were unchanged. Turnover was $94.4 million.
‘‘The market had a good run up through to August, and you tend to get some consolidation after that,’’ Grant Davies, investment adviser at Hamilton Hindin Greene, said. The local index soared 4.4% last month, its best performance in two years, and hit a record on August 29. It has dropped 2.3% so far this month.
Leading the index lower today was Ryman Healthcare, which dropped 2.3% to $13.39. Fletcher Building fell 2.3% to $6.06 and Meridian Energy declined 1.9% to $3.16.
Summerset Group Holdings dropped 0.7% to $7.55. It will sell up to $100 million of sevenyear fixedrate bonds as it cuts its reliance on bank debt.
Tourism Holdings was the best performer yesterday, up 2.5% to $5.74. Fonterra Shareholders Fund rose 1.2% to $5.03 and Restaurant Brands New Zealand gained 1.2% to $7.66.
A The Australian stock market closed flat yesterday after recovering some of its early losses after betterthanexpected economic data from China.
The benchmark S&P/ASX200 index closed down 2.1 points, or 0.03%, at 6141.7 points on Monday, while the broader All Ordinaries index was down 2.6 points, or 0.04%, at 6249.7 points.
The ASX200 had been down as much as 0.33% following a poor finish to the week on Wall Street and continued worries over potential US tariffs on Chinese goods.
In futures trading, the SPI200 futures index was down 13 points, or 0.21%, at 6131 points.
The overall picture improved after positive economic data from China — annual consumer inflation accelerating to a higherthanexpected 2.3% in August — and the market sat flat at noon before drifting lower again by the close.
The heavyweight financial sector remained a drag on the market, with National Australia Bank the worst performing of the big banks after saying it had decided not to hike its mortgage rates despite its rivals doing so, sacrificing margins in the process.
NAB shares were down 0.65% at $27.69, compared to a slight gain for CBA and declines of about 0.49 and 0.4% for ANZ and Westpac respectively.
The major miners were also weighing on the market, with Rio Tinto and BHP both in the doldrums.
Iron ore shipments to China from Port Hedland rose nearly 10% in August from a month earlier, but Rio was 0.77% lower at $70.95, and BHP was down 0.32% to $31.20. Elsewhere, shares in Explaurum jumped 42% to 10.5c on news goldminer Ramelius Resources had made a takeover bid for the gold and base metals explorer.
Health stocks showed gains, with Primary Health Care rising 1.78% to $2.86 after announcing the acquisition of seven clinics that will form the nucleus of a new day hospital division deriving nonMedicare revenue. — BusinessDesk/AAP