NZX50 Ends Marginally Higher

The NZX 50 rose 132 points, or 1.0%, to close at 13,496 on Friday, erasing losses from the prior session, mainly buoyed by gains in consumer staples, consumer discretionary, utilities, and financials. The broader index hit its highest level since March 6, tracking a rally on Wall Street overnight as a US-Iran peace deal offset worries about a Fed rate hike this year. Thursday's data continued to fuel sentiment as New Zealand's GDP growth accelerated to 0.8% qoq in Q1, while annual growth held steady at 1.5%. However, the latest data capped gains, as New Zealand's trade surplus narrowed in May from the same month last year, with exports rising less than imports. A2 Milk surged 8.4% after UBS upgraded the company's shares to Buy from Neutral, citing valuation grounds. Other notable gainers included Hallenstein Glasson (3.0%), Ebos Group (1.9%), Infratil (1.8%), Colonial Motor (1.7%), and Contact Energy (1.6%). For the week, the index rose 2.2%, marking its second straight weekly gain.

The NZX 50 advanced 41 points, or 0.3%, to 13,404 in Friday morning trade, erasing losses from the prior session, tracking a rally on Wall Street overnight as a US-Iran peace deal offset worries about a Fed rate hike this year. Thursday's data continued to lift sentiment as New Zealand's GDP growth accelerated to 0.8% qoq in Q1, while annual growth held steady at 1.5%. However, the latest data also capped gains, as New Zealand's trade surplus narrowed in May from the same month last year, with exports rising less than imports. Traders also anticipated the release of the US final Q1 GDP data and the May PCE Price Index due next week. Consumer discretionary, utilities, healthcare, and consumer staples stocks mainly drove the index, with notable gains from Freightways Group (2.3%), Henderson Far East Income (1.4%), A2 Milk (1.3%), Ebos Group (0.9%), Fisher & Paykel (0.6%), and ANZ Group (0.5%). For the week, the index is heading for a flat finish.

The NZX 50 fell 30 points, or 0.2%, to close at 13,363 on Thursday, extending losses from the prior session, mainly weighed down by utilities, consumer discretionary, and industrials. The broader index tracked a decline on Wall Street overnight after the Fed held interest rates steady and signaled the possibility of rate hikes this year. Wednesday's data also continued to pressure sentiment, as New Zealand's consumer morale fell to its lowest level since 2023 in Q2, while the Q1 current account deficit widened from the same period a year earlier. However, fresh data helped cap the fall, as New Zealand's GDP growth accelerated to 0.8% qoq in Q1, while annual growth held steady at 1.5%. Reports that the US and Iran had digitally signed an interim peace agreement also boosted sentiment, as lower oil prices eased concerns over inflationary pressures. Among notable losses were Mainfreight (-2.8%), AFT Pharmaceuticals (-1.7%), Westpac Banking Corp. (-1.6%), and South Port NZ (-1.1%).