Sharemarket falls on global growth fear
New Zealand shares fell as investors fretted about a possible slowdown in global growth. Spark saw the heaviest volumes traded. The S&P/NZX 50 index fell 34 points, or 0.4 per cent, to 9114.63. Within the index, 17 stocks rose, 9 were unchanged and 24 fell. Turnover was light at $101 million.
US markets were closed due to a holiday but equity markets in Europe fell after China's slightly slower 6.4 per cent GDP growth in the December quarter. Asian markets followed suit and sentiment soured further after the International Monetary Fund trimmed its global growth forecasts.
World growth was revised down to 3.5 per cent and 3.6 per cent in 2019 and 2020, primarily reflecting trade tensions and tightening financial conditions, according to the IMF's World Economic Outlook Update.
Australia's S&P/ASX 200 index fell 0.7 per cent while Japan's Topix was down 0.8 per cent and Hong Kong's Hang Seng was down 1.0 per cent.
David Price, a broker at Forsyth Barr, said volumes remained light with many market participants still on holiday until at least next Tuesday, after Australia Day and the Auckland Anniversary holiday next Monday.
was again the most heavily traded stock, with 5 million shares changing hands compared to its daily average 3.5 million over the past 90 days. It was the biggest loser, shedding 2.2 per cent to $3.96. Some 2.4 million Kiwi Property shares were traded, versus its daily average 1.3 million, with the stock falling 0.7 per
cent to $1.39. The third most heavily traded stock was Trade Me, which added 0.2 per cent to $6.34, still below the $6.45 per share price that Apax Partners has offered in a takeover bid that is subject to shareholder and court approvals.
Precinct Property was unchanged at $1.485. A2 Milk shed 0.8 per cent to $12.50 while dual-listed Australia and New Zealand Banking Group was down 1.2 per cent at $27.42.
The biggest gainer was Gentrack, which added 1.3 per cent to $5.56, followed by Summerset, which was up 1.3 per cent to $6.50. Auckland International Airport
was down 0.6 per cent at $7.43. It announced Jason Delamore, general manager marketing and technology, was leaving in April to become the chief executive of Fronde. Vista
Group added 0.3 per cent to $4.06. It announced Kelvin Preston has joined the company as its general counsel and company secretary.