The New Zealand sharemarket was slightly higher in early trade, following the Reserve Bank's decision today to slash interest rates by a record 1.5 percentage points.
The cut lowered the official cash rate to 5 per cent, with Reserve Bank Governor Alan Bollard saying the move took monetary
policy to an expansionary position.
Meanwhile, United States equities ended their session with a lift after choppy trading as shares of Coca-Cola and other companies that hold up well in a recession gained, following disappointing economic data and corporate outlooks.
In this country the market was helped to its early small gain by an 11c rise in Fletcher Building shares to $5.68.
Around 10.15am the benchmark NZX-50 index was up 7.2 points to 2713.99, having gained 55.6 points yesterday.
Mainfreight gained 8c early today to $4.80, with Hallenstein Glasson up 7c to $2.30 and Nuplex also up 7c, to $3.69.
Methven lifted 5c early to $1.35, Infratil was up 2c to $1.78 and Sky City was up 2c to $3.00.
Fisher & Paykel Healthcare fell 6c early to $3.05, with NZ Refining Co down 5c to $6.15 and Hellaby Holdings down 3c to $1.40.
In the US, preliminary figures put the Dow Jones industrial average up 2.1 per cent at the close, with the Standard & Poor's 500 Index up 2.6 per cent, and the Nasdaq Composite Index up 2.9 per cent.
McDonald's, up 4.4 per cent, and Coca-Cola, up 5 per cent, pulled the Dow higher.
- NZPA
