New Zealand stock market falls; Aussies fall further

UPDATED 4pm: Australian stocks have fallen further, the S&P/ASX 200 down 2.8%, dropping 118.64 points to 4132.6.

Meanwhile, the NZX 50 has recovered further to be down 0.67%, dropping 22.08 points to 3,264.140.

Telecom is up 4.6% (12c) to $2.72.5 after today’s results announcement.

Fletcher Building’s $1.3 billion roading and tunnel contract has failed to fire investors, its shares down 2.6% (21c) to $7.74. 

 UPDATED 1.30pm: Local stocks have recovered some of their early losses with the benchmark NZX50 trading down 1% this afternoon. Shortly after the open, the index was down 1.4%.

Telecom shares were up almost 4% after this morning's reduced profit announcement. Telecom’s bottom line profit was severely impacted by asset impairments with net earnings of $166 million for the year to June 30 down 57% on the 2010 full year. However, stripping out the non-cash items and one-off expenses, the adjusted net profit of $388 million was up 1.6% on last year’s $382 million and ahead of the company’s guidance.

UPDATED 12.30pm: The Australian stock exchange has fallen 2.5% in early trading, following global markets down.

The S&P/ASX 200 is down 105.9 points to 4145.3, with most major stocks falling.

ANZ has fallen nearly 4% after today’s profit announcement, dropping 81Ac to $A19.61, while ASB parent CBA is down 2.3%, dropping $A1.07 to $A46.25.

BNZ parent NAB is down 2.6%, dropping 60Ac to $A22.56, while Westpac is down 2.4%, dropping 49Ac to $A19.89.

Mining giant BHP Billiton is down 3.1%, dropping $A1.20 to $A37.90, while News Corporation is down 1.4%, dropping 22Ac to $A15.68.

The New Zealand stock exchange has followed global markets down, falling 1.4% in early trading.

The NZX 50 is down 45.91 to 3240.306, with almost every stock on the index dropping.

Telecom is the only exception, rising 1.5% (4c) to $2.64 as investors react positively to today’s results announcement.

APN has continued to fall after a poor result yesterday, dropping 4.8% (5c) to $1 per share, while Tower is down 4.9% (7c) to $1.36.

Market heavyweights Fletcher Building (down 3% to $7.71) and Contact Energy (down 1.8% to $4.93) have also suffered from market jitters.