MARKET WRAP: NZ shares rise on jockeying ahead of MSCI changes
MSCI index reshuffle spurs $1.28 billion in turnover.
New Zealand shares rose today on record high trading ahead of the finalised MSCI index, generating much higher than usual turnover.
The NZX50 index rose 10.93 points to 8658.79, on turnover of $1.28 billion.
Craigs Investment Partners senior investment adviser Nigel Scott says the trading value is “probably closing in on 8-10 times the normal average.”
The MSCI index will change tomorrow, June 1, with Synlait Milk joining the small cap index for the first time and Mercury Energy leaving the main New Zealand index, displaced by A2 Milk.
Synlait Milk soared 55c, or 5.1%, to $11.25 while A2 shares shed 1c to $10.87. Mercury Energy climbed 7.5c to $3.23.
Fletcher Building, which retained its spot within the index despite concerns it might drop out, fell 6c to $6.59.
Tourism Holdings fell 14c to $6.53, while Restaurant Brands rose 9c to $7.78. Both companies also join the small cap index.
Orion Health climbed 6c to 76c. Mr Scott says the company continues to have a “cash burn in its businesses”, and corporate action is looming.
Software company Gentrack rose 15c to $7.10.
“Gentrack’s presentations have been very well received. It’s a company that has 80% of its growth outside of New Zealand and more than 50% through the UK,” says Mr Scott.
Air New Zealand fell 11.5c to $3.13. IkeGPS was down 9c, or 15.3%, to 50c.
Mackenzie Smith
Wed, 11 Jul 2018
Wed, 11 Jul 2018
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MARKET WRAP: NZ shares rise on jockeying ahead of MSCI changes
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