NZ stocks: Sharemarket hits record high

The benchmark NZX-50 index went through the roof today, driven by rises in its top two stocks.

Strong performances from market heavyweights Telecom and Carter Holt Harvey pushed the NZX-50 gross index up 11.13 points to a record high of 2667.39, Meanwhile the NZX-All capital index was up 3.80 points at 893.66.

Total market turnover was worth $122.5 million, of which Telecom accounted for $58.3 million.

Telecom, which carries a 26 per cent weighting in the top 50, was up 6c at 580, its highest level since late March.

The company announced today a $40 million investment to build a third generation (3G) mobile phone network, which will deliver "super-fast 3G" mobile services to New Zealanders before Christmas.

Telecom claims the new network will operate six times faster than the new Nokia-equipped network British rival Vodafone announced in May it would build in Australia and New Zealand. Vodafone has 55 per cent of the mobile market here.

Carter Holt Harvey continued to climb today, up 2c at 206. The stock has been on the rise since Monday's announcement the company has bought a wood products plant in China.

But ABN Amro Craig's Bryon Burke said apart from the top two stocks, it was a pretty mixed day for the market, with almost as many falls as rises.

Of the 157 stocks traded today there were 53 rises and 58 falls.

Contact Energy gave up yesterday's gains, falling 7c to 584, as the closing date for bids for Edison Mission's half stake in the company draws nearer.

Sky Network TV, which is set to fall out of the top 10 at the end of the month, fell 12c to 505.

Wrightson fell 3c to 150. Rural Portfolio Investmenrs announced after the market closed yesterday it had gained acceptances over its 50.01 per cent target, for its $1.56 per share partial takeover offer. The offer closed today.

This morning Wrightson announced a 9.5c special dividend to make use of $10 million in tax imputation credits, which would be wiped if the Wrightson board did not declare the dividend before control changes.

Fletcher Building was another strong performer today, up 10c at 460. Mr Burke said the stock had drifted off recently, but found renewed support in the last couple of days. He said interest has picked up as the economic slowdown hasn't yet materialised.

Other stocks to move today included: Hallenstein Glasson down 5c at 295, Lion Nathan up 18c at 748, Cavalier down 5c at 475, Telstra up 5c at 553, Promina up 8c at 456, AMP up 11c at 669, Ports of Auckland up 5c at 725 and APN News Media down 1c at 460.

- NZPA