The New Zealand sharemarket ended a lacklustre week with another restrained performance on a day in which boardroom differences at GPG erupted into the public domain.The benchmark NZX-50 index closed down 15.36 points, or 0.5%, at 3034.111. It was the 10t
The New Zealand sharemarket ended a lacklustre week with another restrained performance on a day in which boardroom differences at GPG erupted into the public domain.
The benchmark NZX-50 index closed down 15.36 points, or 0.5%, at 3034.111. It was the 10th consecutive trading day the index has moved less than a percent. Turnover was worth $80.55 million. There were 26 rises and 46 falls among the 106 stocks traded.
"Renewed concern about Greek sovereign default risk, combined with stronger-than-expected US financial regulation and recent weakness in US economic data have equity markets up against the ropes," said Ben Potter of IG Markets.
GPG shares rose 2c to 66 after the investment company's New Zealand-based director Tony Gibbs went public with his opposition to a demerger plan. The plan has not been well received in the market, brokers said.
The corporate raider led by Sir Ron Brierley is now dealing with a battle on its own boardroom of its own making as the company said in a statement that Mr Gibbs did not consult the board.
Developments are awaited next week while today $3.17 million worth of GPG shares w traded.
Allied Farmers eased 0.1c to 4.3 after saying it was yet to reach agreement with Westpac on extending bank facilities, which expire on July 1.
Pyne Gould Corp was unchanged at 40c after confirming its subsidiary Torchlight Investment Group has a $100m loan to South Canterbury Finance, which is owned by companies associated with Timaru businessman Allan Hubbard but is not under statutory management.
Among the leaders Fletcher Building fell 2c to 795 to be at its lowest level in a month, Telecom was unchanged at 197 and Contact Energy eased 4c to 585.
SkyCity eased a cent to 293 and Nuplex rose 4c to 291.
Auckland Airport dropped 2c to 193, Freightways rose 1c to 285, NZ Oil&Gas was unchanged at 127, Ryman Healthcare lost 3c to 202, and The Warehouse fell 4c to 350.
Tower eased 5c to 183 even though it said the Court of Appeal found in its favour in a dispute with ANZ National.
Sanford eased 3c to 401, SkyTV eased 2c to 491 and Infratil eased 1c to 161. Tourism Holdings rose 1c to 82 and NZ Farming Systems Uruguay rose 3c to 43.
In the United States, fresh signs of consumer weakness and worries about stringent financial regulation provoked investors to unload positions.
Retailers were among the biggest decliners a day after discouraging outlooks from Bed Bath&Beyond and athletic apparel maker Nike.
"People's general focus is on how fragile the recovery is, and recent data points are giving fodder to the double-dip camp," said Mark Luschini, chief investment strategist at Janney Montgomery Scott in Philadelphia.
Banks in the US were pressured by fears Congress would pass stringent rules in an overhaul of financial regulations.
The Dow Jones industrial average dropped 1.4 percent to 10,152.80, the Standard&Poor's 500 Index fell 1.7 percent to 1073.70, and the Nasdaq Composite Index lost 1.6 percent to 2217.42.
