Equities in New Zealand Muted After Food Inflation Data

New Zealand shares were little changed in Tuesday’s morning session, holding near 13,174 after three consecutive declines. Investors weighed fresh data showing food inflation accelerated for the second month, rising to 4.5% in February from a downwardly revised 4.2% in January. Focus also turned to Q4 GDP figures due later this week and the U.S. Fed’s policy meeting, where rates are expected to remain steady, but Powell’s remarks may shed light on how the Middle East conflict could affect the U.S. outlook. In top trading partner China, January–February activity data beat expectations, with industrial output, retail sales, and fixed investment all stronger than forecast. On the NZX 50, gains in consumer durables and industrial services were almost offset by weakness in financials and communications. Summerset Group (1.1%), Genesis Energy (0.9%), and Auckland Intl. Airport (0.7%) advanced, while Scott Technology (-1.3%), Delegat Group (-1.2%), and South Port NZ (-0.9%) lagged.

The NZX 50 was down 23 points, or 0.2%, to close at 13,164 on Monday, marking a third straight decline. Sentiment was rattled by the Middle East conflict, now in its third week with no signs of easing, while oil prices remained elevated above USD 100 per barrel. Vigilance also grew ahead of key domestic data later this week, including New Zealand's February food inflation and Q4 GDP. Adding to concerns, service activity in the country shrank for the first time in three months during February, highlighting lingering fragility in economic growth momentum. Still, losses were offset by a rebound in U.S. futures after Wall Street’s Friday slump. Meanwhile, activity data in China, New Zealand's top trading partner, pointed to solid industrial output, retail sales, and fixed-asset investment in the first two months of 2026. Notable decliners included Hallenstein Glasson Holdings (-2.3%), Tourism Holdings (-2.2%), Sky Network Television (-2.1%), and Fisher & Paykel Healthcare (-2.0%).

New Zealand stocks slipped 44 points, or 0.3%, to 13,143 in Monday morning trade, extending losses for a third straight session after Wall Street’s weak Friday close rattled sentiment. At the same time, oil prices surged past USD 100 per barrel, with reports of 2,500 U.S. Marines moving to the Middle East stirring geopolitical caution. Investors also stayed guarded ahead of key domestic releases this week, including February food inflation and Q4 GDP. In top trading partner China, activity data for January–February, covering among others industrial output and retail sales, is due later today. Still, downside momentum was tempered by fresh figures showing a rebound in New Zealand’s February retail card spending. Sectoral weakness was broad, led by consumer durables, services, non-energy minerals, and healthcare. Early laggards included Fletcher Building (-2.3%), Hallenstein Glasson (-2.1%), PGG Wrightson (-1.9%), and Scott Tech (-1.7%).