NZX 50 Hits 3-Week High Ahead of RBNZ Decision

New Zealand stocks rose 20 points, or 0.2%, to 13,089 in morning deals on Wednesday, gaining for the third straight session ahead of the RBNZ monetary policy decision later today. The broader index remained at its highest level since March 18, supported by expectations that the central bank will hold the interest rate at 2.25%, amid concerns about inflation and the toll of soaring energy prices on the economy. Communication services led the gains, followed by materials, consumer discretionary, and industrials. Sentiment was also lifted by hopes of de-escalation in the Middle East after Pakistan requested President Donald Trump to extend a key deadline to reopen the critical Strait of Hormuz by two weeks. However, traders are anticipating the US March inflation data due later this week, amid soaring energy prices. Among the top performers were Chorus (1.2%), Mainfreight (0.8%), Ebos Group (0.6%), Mercury NZ (0.6%), and Auckland International Airport (0.4%).

The NZX 50 rose 168 points, or 1.3%, to close at 13,070 on Tuesday, resuming after a two-day closure for the Easter holiday and extending gains from the previous session, supported by most sectors. Healthcare led the advance, followed by materials, communication services, financials, and industrials. The broader index hit its highest level since March 18, lifted by expectations that the RBNZ will hold the interest rate at 2.25% at Wednesday's meeting, amid concerns about inflation and the toll of soaring energy prices on the economy. However, a fall in US futures capped gains, as investors cautiously watched President Donald Trump’s deadline for Iran to reopen the Strait of Hormuz after Tehran rejected a ceasefire proposal. Top gainers included Skellerup Holdings (5.6%), Fisher & Paykel Healthcare (3.8%), Mainfreight (3.6%), ANZ Group (2.6%), Freightways Group (2.1%), and Ebos Group (1.5%).

The NZX 50 climbed 93 points, or 0.7%, to 12,996 in morning trade on Tuesday, resuming after a two-day closure for the Easter holiday and extending gains from the previous session. The broader index hit its highest level since March 19, following an upbeat session on Wall Street overnight due to hopes for a Middle East ceasefire. Sentiment was further lifted by expectations that the RBNZ will hold the interest rate at 2.25% at Wednesday's meeting, amid concerns about inflation and the toll of soaring energy prices on the economy. Almost all sectors traded in the green, including healthcare, information technology, and communication services. However, investors are anticipating the US March inflation data due later this week, also amid soaring energy prices. Among early gainers were AFT Pharmaceuticals (2.1%), Fisher & Paykel Healthcare (1.6%), Gentrack Group (1.2%), Freightways Group (1.1%), Fonterra (1.0%), ANZ Group (0.8%), and Westpac Banking Corp. (0.8%).