tmmonline.nz  |   landlords.co.nz        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
Last Article Uploaded: Friday, November 1st, 10:39AM

Investments

rss
The Markets

NZ shares outperform Asia on persistent demand for reliable income

New Zealand shares outperformed the rest of Asia as blue-chip stocks including Fisher & Paykel Healthcare, Auckland International Airport and Mainfreight remained in demand among investors in search of reliable income.

Monday, June 24th 2019, 8:00PM

by BusinessDesk

Peter McIntyre

The S&P/NZX 50 Index rose 61.02 points, or 0.6 percent, to a record 10,388.31. Within the index, 21 stocks gained, 23 fell, and six were unchanged. Turnover was $89.8 million.

The local market was the top performer across Asian benchmarks tracked by Refinitiv. The NZX50 has been buoyed by its heavy weighting towards utilities, infrastructure firms, and property investment companies, with investors paying a premium for reliable dividend income at a time when interest rates remain low around the world. The NZX50's average dividend yield at 4.62 percent is the third-highest across Asia behind Pakistan's Karachi 100 Index and Australia's S&P/ASX 200 Index.

Peter McIntyre, an investment advisor at Craigs Investment Partners, said the pending rate review by the Reserve Bank was the major domestic event this week.

"I don't think anyone expects the trigger to be pulled. The commentary is the interesting part of that announcement," he said.

Overseas news remains at the top of investors' minds with the upcoming meeting between the US and Chinese presidents at the end of this week a key focus, he said.

That uncertain global economic outlook has meant shareholders have been reluctant to sell high-quality companies, with just five companies trading on volumes of more than a million shares today.

F&P Healthcare led the market higher, up 2.7 percent at $145.46 on a volume of 177,000 shares, down on its 90-day average of 638,000. Auckland Airport rose 2.7 percent to $9.48, just shy of the $9.49 record it reached today, on a volume of 803,000, less than its 1.3 million average. Mainfreight advanced 2.4 percent to a record close $40.49 on a volume of 176,000 shares, more than three times its average of 55,000.

McIntyre said the trend for lower interest rates continued to support those types of stocks.

Mercury NZ was the most traded company on a volume of 1.9 million shares, more than twice its 663,000 average. It rose 0.2 percent to $4.26. Of other companies trading on volumes of more than a million shares, Kiwi Property Group was unchanged at $1.61, Fletcher Building increased 0.6 percent to $5.46, and Spark New Zealand decreased 0.3 percent to $3.95.

Meridian Energy was unchanged at $4.73 on a volume of 1.2 million shares after saying it had signed a supply agreement with Australian online retailer Kogan.com.

Tourism Holdings rose 1.2 percent to $4.09 on smaller volume than usual of 114,000. The rental RV operator today said it will raise $80 million to strengthen its balance sheet. Of that, $30 million was through a placement to Chinese investment firm Citic, which will get a seat at the board, while the rest will be via a discounted rights offer.

Growth stocks were among the worst performers, with Pushpay Holdings down 3.2 percent at $3.95 on a smaller volume than usual of 88,000 shares. Synlait Milk fell 3 percent to $9.52, and Vista Group International decreased 2 percent to $6. Chorus was down 2.4 percent at $5.78.

Summerset Group's 2025 bond paying annual interest of 4.2 percent was the most traded debt security on a volume of 961,000. The notes closed at a yield of 3 percent, down 8 basis points. Summerset shares decreased 0.2 percent to $5.44.

Tags: Market Close

« NZ shares gains in heavy trading on quarterly index reweightingSharemarket extend gains as A2 buoyed by trade data »

Special Offers

Comments from our readers

No comments yet

Sign In to add your comment

 

print

Printable version  

print

Email to a friend
News Bites
Latest Comments
Subscribe Now

AM Update - Your morning business news update

Previous News
Most Commented On
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
AIA - Back My Build 5.44 - - -
AIA - Go Home Loans 7.99 5.99 5.69 5.69
ANZ 7.89 6.59 6.29 6.29
ANZ Blueprint to Build 7.39 - - -
ANZ Good Energy - - - 1.00
ANZ Special - 5.99 5.69 5.69
ASB Bank 7.89 5.99 5.69 5.69
ASB Better Homes Top Up - - - 1.00
Avanti Finance 8.40 - - -
Basecorp Finance 9.60 - - -
BNZ - Classic - 5.99 5.69 5.69
Lender Flt 1yr 2yr 3yr
BNZ - Mortgage One 7.94 - - -
BNZ - Rapid Repay 7.94 - - -
BNZ - Std 7.94 5.99 5.69 5.69
BNZ - TotalMoney 7.94 - - -
CFML 321 Loans 6.20 - - -
CFML Home Loans 6.45 - - -
CFML Prime Loans 8.25 - - -
CFML Standard Loans 9.20 - - -
China Construction Bank - 7.09 6.75 6.49
China Construction Bank Special - - - -
Co-operative Bank - First Home Special - 5.79 - -
Lender Flt 1yr 2yr 3yr
Co-operative Bank - Owner Occ 7.65 5.99 5.75 5.69
Co-operative Bank - Standard 7.65 6.49 6.25 6.19
Credit Union Auckland 7.70 - - -
First Credit Union Special - 6.40 6.10 -
First Credit Union Standard 8.50 7.00 6.70 -
Heartland Bank - Online 7.49 ▼5.65 ▼5.55 ▼5.55
Heartland Bank - Reverse Mortgage - - - -
Heretaunga Building Society 8.90 7.00 6.50 -
ICBC 7.49 5.99 5.65 5.59
Kainga Ora 8.39 7.05 6.59 6.49
Kainga Ora - First Home Buyer Special - - - -
Lender Flt 1yr 2yr 3yr
Kiwibank 7.75 6.89 6.59 6.49
Kiwibank - Offset 8.25 - - -
Kiwibank Special 7.75 5.99 5.69 5.69
Liberty 8.59 8.69 8.79 8.94
Nelson Building Society 8.44 ▼6.39 ▼6.09 -
Pepper Money Advantage 10.49 - - -
Pepper Money Easy 8.69 - - -
Pepper Money Essential 8.29 - - -
SBS Bank 7.99 6.95 6.29 6.29
SBS Bank Special - ▼6.15 5.69 5.69
SBS Construction lending for FHB - - - -
Lender Flt 1yr 2yr 3yr
SBS FirstHome Combo 5.44 ▼5.15 - -
SBS FirstHome Combo - - - -
SBS Unwind reverse equity 9.75 - - -
TSB Bank 8.69 6.79 6.49 6.49
TSB Special 7.89 5.99 5.69 5.69
Unity ▼7.64 5.99 5.69 -
Unity First Home Buyer special - 5.49 - -
Wairarapa Building Society 8.50 ▼6.19 ▼5.79 -
Westpac 8.39 6.89 6.39 6.39
Westpac Choices Everyday 8.49 - - -
Westpac Offset 8.39 - - -
Lender Flt 1yr 2yr 3yr
Westpac Special - 6.29 5.79 5.79
Median 7.99 6.17 5.79 5.69

Last updated: 30 October 2024 9:36am

About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox  |  Disclaimer
 
Site by Web Developer and eyelovedesign.com