The New Zealand sharemarket posted modest gains as governments continued to move to fix market excesses.
US investors were encouraged by a US$800 billion ($1.5 trillion) Federal Reserve plan to buy mortgage-related debt and back consumer loans.
New Zealand Finance Minister Bill English said today that the Government's
December stimulus package would inject about $7 billion into the economy over two years.
The benchmark NZSX-50 index closed up 3.023 points, or 0.115 per cent, at 2637.901. Volume was worth $77.77 million. There were 38 rises and 35 falls.
"Offshore markets were just a touch weaker after some pretty solid gains in recent days," said Grant Williamson, director at Hamilton Hindin Greene.
Resins and chemicals company Nuplex was down 42c to 340, after sliding 68c yesterday after predicting earnings before interest, tax, depreciation and amortisation would fall this year to $110m from $121.8m.
Air NZ was down 2c at 85 amid criticism of a UK levy on long haul flights.
Sanford was down 5c at 535 even though it posted a strong annual profit. The company gave little guidance on the outlook.
Fletcher Building was down 11c at 557 and had been weak ahead of announcing a withdrawal from an acquisition deal in Australia.
Contact rose 12c to 674 and Telecom rose 8c to 236.
"They are a couple of utilities viewed as defensive in the current economic environment," said Mr Williamson.
Mainfreight rose 7c to 427 on a day chairman Bruce Plested received a Beacon award and praise from the NZ Shareholders' Association.
Freightways was down 10c at 265, Tower was down 5c at 145 and Lion Nathan was down 55c at 1040.
Westpac rose 35c to 2025. Trustpower rose 1c to 692.
NZOG eased 4c to 130 and SkyCity eased 5c to 300. NZX eased 5c to 565.
In the US, unofficially the Dow Jones industrial average rose 0.4 per cent, the Standard & Poor's 500 Index gained 0.7 per cent, but the Nasdaq Composite Index slipped 0.5 per cent.
The Nasdaq ended lower as technology shares were hurt by concerns that demand may be weakening after bellwether Cisco Systems said that it will close most of its operations in the US and Canada for five days in an effort to cut costs.
- NZPA
