NZ sharemarket little changed

The New Zealand sharemarket presented a mixed overall picture today but there was a lot going on.

The benchmark NZSX-50 index closed up 5.045 points, or 0.161 per cent per cent, at 3147.907. Turnover was worth $99.13 million. There were 53 rises and 33 falls among the 112 stocks traded.

Fletcher Building rose 8c to 849 and brokers said news that the recession has ended helped cyclical stocks like it.

Rakon fell 21c to 128 after successfully raising $45m in an institutional placement. The price is above the 115 price new shares were sold at.

Stephen Wright at ASB Securities said the stock had done well. The capital raising was underwritten at 110.

Pyne Gould fell 1c to 99 after announcing a $237 million underwritten six-for-one rights issue at a deep discount of 40c a share. The stock traded as high at 118 today.

Mr Wright said the capital raising was one the company had to have and was likely to succeed because of the low price.

Air New Zealand rose 4c to 128 on a day the company told shareholders it had negotiated turbulent economic times better than other airlines in the region.

Pumpkin Patch was unchanged at 202 after reporting full-year net profit, excluding non-recurring items, fell 13.9 per cent.

Restaurant Brands fell 1c to 122 after reporting second quarter sales rose 4.8 per cent. Mr Wright said the company had already shown its potential in statements last week.

"Our market is mixed and we have been for quite some time," he said.

Telecom was an unchanged 261 and Contact Energy fell 8c to 573.

SkyTV rose 10c to 468 after TVNZ said it was negotiating with Sky to take over the broadcasting rights to next year's Commonwealth Games in India.

Fisher & Paykel Appliances eased 1c to 75, Tourism Holdings eased 3c to 69, APN eased 11c to 241. Hallenstein Glasson fell 6c to 294 and GPG fell 1c to 89.

TrustPower fell 3c to 747 and Freightways fell 5c to 320. Auckland Airport fell 4c to 187.

Ebos rose 10c to 590, Nuplex rose 4c to 249 and SkyCity rose 6c to 319.

US stocks rose on Tuesday as investors bet the US Federal Reserve will stick to its accommodative policy to foster economic recovery, boosting growth-sensitive sectors such as financials, technology and industrials.

The Federal Reserve began a two-day policy-setting meeting and will make a policy statement on Wednesday US time.

With no change expected in interest rates, investors will focus on the bank's assessment of the economic outlook, particularly after Chairman Ben Bernanke said last week that the recession was "technically" over.

The Dow Jones industrial average gained 51.01 points, or 0.52 per cent, to end at 9829.87. The Standard & Poor's 500 Index rose 7.00 points, or 0.66 per cent, to 1071.66 - a fresh 11-month closing high. The Nasdaq Composite Index climbed 8.26 points, or 0.39 per cent, to 2146.30.

- NZPA