KEY POINTS:
The share market rallied today on good volume, much of which was again in leader Telecom.
The benchmark NZSX-50 index closed up 12.044 points, or 0.44 per cent, at 2747.901. Turnover was worth $113.4 million. There were 41 risers and 28 falls.
Telecom, which was worth as little
as 225 at the end of last year, continued to make gains. This morning it rose another 7c to 264 - levels it last saw in October last year - before closing at 260.
Stephen Wright at ASB Securities said the volume in Telecom had fallen away yesterday but it was restored today. Volume has been going through in Telecom in crossings ahead of the market opening.
Otherwise there was again little corporate news to trade off and investors continue to wait for news on profits and dividends in the upcoming reporting season.
New Zealand Oil and Gas eased 1c to 128, despite announcing it had been granted a new exploration permit for a field off the south Taranaki coast.
Auckland Airport rose 4c to 188 on a day in which the NZ Herald reported Defence Minister Wayne Mapp saying the Air Force was not going to leave Whenuapai to consolidate at Ohakea and a paper was being prepared on the implications. The base has been seen as a competitor of Auckland Airport if vacated by the Air Force.
Infratil rose 10c to 179 and Air NZ rose 2c to 91 despite reports that airlines are having to discount to fill seats.
Fletcher Building eased 23c to 548. SkyCity eased 6c to 301 and Guinness Peat eased 3c to 83. Sky TV rose 10c to 405.
Mr Wright said the only other theme was the popularity of stocks with high dividend yields. Many Asian markets were closed for Chinese new year. Investors were waiting to see how much the Reserve Bank of New Zealand cuts the Official Cash Rate by tomorrow.
Freightways rose 1c to 278. Contact rose 8c to 678. Trust Power rose 5c to 730.
The Warehouse rose 4c to 372 but Michael Hill was unchanged at 52. Vector rose 4c to 212, Wakefield rose 10c to 870 and Scott Technology eased 8c to 87. SouthPort eased 14 to 200.
AMP rose 15c to 635.
US stocks climbed on Tuesday with the S&P 500 and the Nasdaq up for a third straight day as a rare bit of encouraging news on the earnings front from companies, including American Express, offset fresh signs that consumers remain glum.
American Express jumped nearly 10 per cent and gave the biggest boost to the Dow after the credit card company posted a quarterly profit that surpassed analysts' forecasts.
Analysts said investors were beginning to look beyond some of the gloomy news amid hopes about efforts to stabilise the economy.
The Dow Jones industrial average rose 58.70 points, or 0.72 per cent, to 8174.73. The Standard & Poor's 500 Index gained 9.14 points, or 1.09 per cent, to 845.71. The Nasdaq Composite Index advanced 15.44 points, or 1.04 per cent, to 1504.90.
- NZPA
