NZ stocks: Shares continue to rise in morning trade

12.15pm

The New Zealand sharemarket headed higher this morning led by stocks such as Waste Management as yesterday's buoyant mood persisted.

By 11.30am the benchmark NZSX-50 gross index was up 7.43 points or 0.28 per cent at a fresh high of 2631.45, while the NZSX all capital index was up 2.81 points or 0.32 per cent at 890.65.

Turnover was worth $24.02 million and there were 49 rises and 26 falls among the 119 stocks traded.

Yesterday, the NZSX-50 gained nearly 15 points after positive movements offshore, and the release of favourable domestic inflation data.

This morning, the upbeat mood appeared to be persisting, " the market's all right isn't it?," Direct Broking's Peter Lynds said.

Share prices were rising partly through a lack of availability, he said.

"It's the old story -- there seems to be a bit of money chasing a bit of stock, there's not much liquidity in the market.

"There's buying interest out there but no-one's prepared to sell."

Market leader Telecom was up 3c to 577, while among other top stocks Auckland International Airport was up 6c to 650, Carter Holt Harvey was down a cent to 226, Contact Energy rose 3c to 551, Fisher & Paykel Appliances was up 4c to 442, Fletcher Building was unchanged on 463, and The Warehouse was up a cent to 430.

However, Mr Lynds said the highlight of the morning's session was Waste Management which today held its annual general meeting. Chairman Jim Syme told shareholders the company's forecast profit growth in the current financial year would match last year's 23 per cent rise. The stock responded, rising 5c to 440.

Other stocks to move in early trade included: BayCorp Advantage down 5c to 316, Fisher & Paykel Healthcare down 4c to 1243, Infratil up 2c to 294, Mainfreight up 4c to 188, NGC Holdings up 3c to 258, NZX down 15c to 950, Promina up a cent to 426, Sky City up a cent to 446, Steel & Tube Holdings up 3c to 398, Tenon up 3c to 198, and Wrightson up a cent to 143.

On overseas markets yesterday, Wall St's technology-laced Nasdaq Composite Index rose 24.66 points, or 1.24 per cent, to 2,020.40. The Dow Jones industrial average dropped 14.12 points, or 0.14 per cent, to 10,437.85, while the Standard & Poor's 500 Index gained 1.21 points, or 0.11 per cent, to 1,135.82.

London's FTSE 100 closed at 4,546.2 points, up 8.9 or 0.20 per cent, and Japan's Nikkei average ended down 0.51 per cent or 60.35 points at 11,764.21.

- NZPA