NZX 50 Slips 0.1% at Close, Marks Second Weekly Loss

The NZX 50 dropped 10 points, or 0.1%, to close at 12,875 on Friday, lingering at its lowest level since April 1 after trading flat in the morning. The index fell for a second straight session, tracking declines on Wall Street overnight amid a stalemate in US-Iran ceasefire talks. Sentiment was also pressured by concerns over delays in the economic recovery, as the Iran war pushed up fuel costs and weighed on business and consumer confidence. Moody’s decision on Wednesday to downgrade New Zealand’s outlook from stable to negative also weighed on sentiment, following a similar move by Fitch Ratings in March. Technology and financial stocks led the losses, with major laggards including Scales Corporation (-1.5%), Infratil (-1.3%), Briscoe Group (-1.1%), Skellerup Holdings (-0.9%), and Fisher & Paykel Healthcare (-0.7%). For the week, the index edged down 0.2%, marking a second straight weekly decline amid higher oil prices driven by the Iran conflict.

The NZX 50 was almost flat, trading around 12,879 on Friday morning after retreating in the previous session and attempting to recover from its lowest level since April 1, which it touched the day before. Gains in healthcare, consumer staples, and consumer discretionary offset declines in energy, financials, and materials. Traders continued to assess Thursday's statement from Finance Minister Nicola Willis on the economic recovery. Finance Minister Nicola Willis said on Thursday that the economy has been delayed but not derailed, as the Iran war lifted fuel costs and dented business and consumer sentiment. Moody’s decision to downgrade New Zealand’s outlook from stable to negative also raised concerns. A2 Milk rose 0.5%, Chorus gained 0.7%, and Ebos Group advanced 0.9%, while Freightways and Infratil fell by 0.5% and 0.7%, respectively. For the week, the index edged down 0.2%, marking a second straight weekly decline amid uncertainty over US-Iran ceasefire talks.

The NZX 50 fell 61 points, or 0.5%, to close at 12,885 on Thursday, touching its lowest level since April 1 and reversing morning strength, while erasing gains from the previous three sessions as traders worried about delays in economic recovery. Finance Minister Nicola Willis said on Thursday that the economy has been delayed but not derailed, as the Iran war lifted fuel costs and dented business and consumer sentiment. Wednesday’s decision by Moody’s Ratings to downgrade New Zealand’s outlook to negative from stable also pressured sentiment. The downgrade came after Fitch Ratings lowered the country’s outlook to negative from stable in March. Healthcare, materials, consumer discretionary, and financials mainly weighed on the index. Among the bottom performers were Fisher & Paykel Healthcare (-3.0%), Colonial Motor Company (-2.3%), Ebos Group (-1.4%), ANZ Group (-0.9%), F&C Investment Trust (-0.8%), A2 Milk (-0.8%), Chorus (-0.6%), and Mainfreight (-0.5%).