The sharemarket returned from the Christmas break with little vigour, closing lower as dominant stock Telecom fell to fresh six-year lows.
Fletcher Energy featured with high volumes.
The NZSE-40 capital index ended off 11.64 points at 1867.85 and smaller stocks were flat, the NZSE-SCI capital index firming just 2.43 points to 5026.47.
Turnover
of 18.96 million shares was worth $74.30 million, Fletcher Energy accounting for $39.92 million and Telecom $13.27 million.
Rises outnumbered falls 46 to 38 among the 125 traded.
"Telecom was soft in the States and that translated to a soft opening here," the managing director of Cavill White Securities, Dr Don Turkington, said.
Telecom finished down 23c at $4.62, a level last seen in mid-1994.
Telecom fell in the US while the local market was closed for Christmas.
Its investors face a raft of worries, including negative global sentiment regarding the telecommunications sector, Telecom's interest in the expensive mobile assets of Australia's second largest telco, Cable & Wireless Optus, and a new regulatory framework at home.
Fletcher Energy gained 4c to $8.16, with a pre-market crossing of 4 million shares at $8.12.
Dr Turkington said the stock's rise followed a $US1 rise in its US asset Capstone Turbines.
Advantage, which announced it had received a $3.03 million offer for its stake in technology investment company Strathmore Group, gained 6c to $1.25 while Strathmore firmed 1.4c to 13.4c. The offer amounts to 11c per share and nothing for the options.
Following the proposed transaction, bidder Saree Holdings would hold 22.24 per cent of the ordinary shares and 28.18 per cent of the options in Strathmore.
Among the majors Air NZ B shares which foreigners can own were up 1c to $2.06, Auckland Airport shed 5c to $3.05, Carter Holt rose 1c to $1.61, Contact gained 5c to $2.65, Fletcher Building eased 1c to $1.92, as did Forests, to 29c, and the preference shares added 1c to 30c.
Sky City was up 5c at $8.10, Tower rallied 10c to $5.25, The Warehouse rose 8c to $5.99, as did Fisher and Paykel, to $7.90.
Elsewhere, Brierley eased 1c to 30c and Frucor dropped 13c to $1.72.
- NZPA
