Market close: NZ shares finish week on positive note

The S&P/NZX 50 Index closed at 11,367.51, up 37.31 points or 0.33 per cent.

The New Zealand sharemarket finished the week on a positive note - although it didn’t get whipped up by the optimism and some new highs on Wall Street.

The S&P/NZX 50 Index closed at 11,367.51, up 37.31 points or 0.33 per cent after reaching an intraday low of 11,3207.05. The index gained 1.4 per cent for the week and is now down 1.1 per cent for the year.

There were 69 gainers and 57 decliners over the whole market on light trading, with 20.74 million shares worth $77.67 million changing hands.

It was a solid November for the New Zealand market, with the gross index rising 5.3 per cent – but not quite as rousing as the United States.

The Dow Jones Industrial Average surged 520 points or 1.47 per cent to a one-year high of 35,950,89 points. It climbed 8.9 per cent in November – the best month this year.

The S&P 500 was down 0.38 per cent to 4567.8 points but was also up 8.9 per cent for November. The Nasdaq Composite increased 0.23 per cent to 14,226.22 and was up 10.7 for the month. They were the best monthly performances since July last year.

The US markets were spurred by a fall in the personal consumption expenditures price index, the Federal Reserve’s preferred inflation measure. The index was up 3.5 per cent for the year ending October, down from 3.7 per cent the month before and in line with expectation.

The falling inflation was another encouraging sign that the Fed may cut interest rates next year.

Shane Solly, portfolio manager with Harbour Asset Management, said the MSCI Global Index increased 9.4 per cent in November – the biggest monthly move since the index began in 1970.

“The markets are looking reasonably positive, and locally the post-results sentiment has improved. Many of the company results may have been conservative but they weren’t outrightly negative,” Solly said.

“The market is forward-looking and there is a bit of sunshine starting to peek through in the company outlook statements.”.

Auckland International Airport, gaining an increased weighting in the MSCI index, led the market up with a 15c gain to $8.07. Fisher & Paykel Healthcare was up 25c to $23.81 and Ebos Group added 43c to $37.43.

Utilities software firm Gentrack crashed through the $6 mark after rising 39c or 6.72 per cent to $6.19; Summerset Group added 9c to $9.40; Restaurant Brands increased 21c or 5.4 per cent to $4.10; and SkyCity was up 4c or 2.16 per cent to $1.89.

Sky TV increased 6c or 2.17 per cent to $2.82; AFT Pharmaceuticals was up 6c or 1.82 per cent to $3.36; Precinct Properties added 2.5c or 2.19 per cent to $1.1654; and Vital Healthcare Property Trust gained 4.5c or 2.19 per cent to $2.10.

Synlait was up 3c or 2.33 per cent to $1.32 on the day of its annual meeting. Synlait has increased its forecast milk price for the 2023/24 season to $7.25kgMS, from $7 as dairy commodity prices recover.

Spark declined 8.5c to $5.10; NZME was down 4c or 4.49 per cent to 85c; Move Logistics shed 3c or 5.17 per cent to 55c; Oceania Healthcare decreased 2c or 2.7 per cent to 72c; Michael Hill shed 2c or 2.77 per cent to 86c; and The Warehouse gave up 4c or 2.2 per cent to $1.78.

Cooks Coffee, unchanged at 16.2c, reported half-year operating revenue of $2.04m and a loss of $319,000. Cooks has 94 stores, mainly in the UK and Ireland. Its Triple Two business with 11 franchised stores was placed in voluntary administration in late October.

Software firm Blackpearl Group was up 2c or 4.08 per cent to 51c following its half-year result, which saw a sharp rise in revenue of $1.63m and a net loss of $2.21m. Annual recurring increased 221 per cent to $4.6m.

Chatham Rock Phosphate, unchanged at 10c, has lodged its mining lease application for the Korella Mine with the Queensland Department of Resources. Chatham hopes to make first sales of phosphate in the third quarter next year.