NZ shares dip after China plunge

World fears, coupled with an increased concern about continued growth in the New Zealand economy, has lead to a dip in the NZX this morning. File photo

New Zealand shares opened just under 1 per cent lower in response to the meltdown on Chinese markets and weakness on Wall Street.

After 15 minutes' trading the NZX50 index was down by 41 points or 0.71 per cent at 5,726.6 on light trading volume.

In the US, mounting fears that China's problems could spread drove the Dow Jones industrial average down by 261.49 points, or 1.47 percent, to 17,515.42. Wall Street trading was also disrupted after a technical outage forced a three hour trading suspension.

There were problems at the New York Stock Exchange overnight after trading was stopped because of a technical problem, though NYSE-listed shares continued to trade on other exchanges.

The exchange said on its official Twitter feed that the issue was internal and not related to a breach of its systems. Trading resumed after a break of several hours.

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Forsyth Barr broker David Price said the New Zealand market's decline this morning was mostly driven by offshore influences, but he said concerns that the local economy may be coming off the boil was starting to become a factor.