The New Zealand sharemarket started the week badly and brokers can see little on the horizon to lift it from its current malaise.The benchmark NZX-50 index closed down 25.702 points, or 0.8%, at 3008.409. Turnover was worth $79.6 million. There were 27 ri
The New Zealand sharemarket started the week badly and brokers can see little on the horizon to lift it from its current malaise.
The benchmark NZX-50 index closed down 25.702 points, or 0.8%, at 3008.409. Turnover was worth $79.6 million. There were 27 rises and 50 falls among the 110 stocks traded.
Guinness Peat Group shares rose 2c to 68 after the investment company's New Zealand-based director Tony Gibbs went public with his opposition to a demerger plan, which has not been well received by investors.
The company said he had not consulted the board.
"There seems to be some issues among the board members, which is making investors nervous but there is also talk of a capital return," said Grant Williamson, director at Hamilton Hindin Greene. Mr Gibbs' comments were seen as fair.
"Elsewhere it is a very bad start to the week. We opened flat but Australia came on stream and was down. There was no reason for buyers to come into the market," Mr Williamson said.
Telecom fell 7c to 190. It had opened little changed but lost ground through the day.
Brokers say the situation of South Canterbury Finance remained uncertain and investors were happy to "take a bit off the table" in the wider stockmarket in such an environment.
Contact Energy fell 8c to 577, Fisher & Paykel Healthcare – which went ex-dividend today – fell 5c to 309. Nuplex fell 5c to 286.
Freightways, which joined the list of companies advising of the impact on its bottom line of changes announced in last month's budget, slipped 3c early to 282. Fletcher Building was unchanged at 795.
Smiths City eased 1c to 31 despite reporting an increase in annual profit.
Cavalier Carpets rose 5c to 240, Goodman Fielder rose 3c to 165, Hallenstein Glasson rose 4c to 360, NZOG rose 1c to 128 and NZ Refining rose 2c to 318. Ryman Helathcare rose 1c to 203, Sanford rose 1c to 402 and Infratil was unchanged at 161.
