Market commentary

AUCKLAND: The New Zealand sharemarket maintained its cautious approach before the latest financial reporting season, falling for the fourth successive day this week.

The S&P/NZX 50 Index slipped under the 13,000 mark and finished down 99.07 points or 0.76% at 12,992.14. It reached an intraday high of 13,141.05 points.

The index has so far fallen 1.75% this week, as if shaken by the spectre of rising interest rates on the back of a rebounding economy and a dramatic drop in the unemployment rate.

There were 62 gainers and 72 decliners over the whole market on volume of 55.74 million share transactions worth $171.41 million.

The NZ dollar was slightly weaker at US71.95c against the American, falling from US72.26c the day before.

The leading market cap stocks — this time including Meridian, Auckland International Airport, Chorus and Mainfreight — have been lately showing unexpected volatility and dragging the market down. Beneath them, there was an absence of major price swings among most stocks in the latest bout of trading.

Dan Stratful, investment adviser with Forsyth Barr, said the local market has been lagging behind others overseas, pulled down by a few heavy hitters in the index.

‘‘Unemployment is at 4.9%, our Covid numbers are under control and inflation is back at 1.4% . . . I think we are on the path of regaining our ‘rock star economy’ status.’’

Meridian, the secondbiggest stock on market capitalisation, fell 17c to $6.97, Contact lost 15c to $8.10, Auckland International Airport was down 19c to $7.21, on trade worth $18.42 million, a2 Milk declined 10c to $10.97, Chorus shed 33c to $8.38 and Genesis was down 7c to $3.78.

Transport and logistics operator Mainfreight continued its decline from a high of $69.89, falling $1.58 to $65.41.

Another heavy hitter, Fisher and Paykel Healthcare , was up 24c to $33.94 on trade worth $15.98 million, Summerset Group Holdings gained 8c to $12.40, Fletcher Building increased 3c to $6.48 and Port of Tauranga rose 6c to $7.41.

Wind farm specialist Tilt Renewables told the market it has received several inquiries to buy the company. This follows a review by Infratil of its 65.5% shareholding in Tilt, which operates eight wind farms in Australia and New Zealand. Tilt Renewables was up 9c to $6.37, while Infratil fell 10.5c to $7.345. —