NZX 50 Ends at 2-Week Low, Falls 0.9%

The NZX 50 dropped 124 points, or 0.9%, to close at 13,038 on Monday, halting gains from the previous session and touching its lowest level since May 25, tracking a downbeat session on Wall Street on Friday due to a steep selloff in semiconductor shares. Concerns about renewed tensions in the Middle East also pressured sentiment after Israel launched retaliatory strikes on Iran following Tehran's attacks on northern Israel. Traders also awaited the release of US inflation data and China's inflation and trade balance figures, as well as New Zealand business PMI data later this week. Industrial, technology, utilities, and energy stocks mainly weighed on the index, with notable losses from Freightways Group (-3.4%), Henderson Far East Income (-2.7%), Auckland International Airport (-2.5%), and Meridian Energy (-2.4%), while Fletcher Building and Mainfreight each fell 1.9%, Contact Energy shed 1.3%, and Infratil dropped 1.2%.

The NZX 50 fell 204 points, or 1.6%, to 12,958 in Monday morning trading, halting gains from the previous session and touching its lowest level since May 22, tracking a downbeat session on Wall Street on Friday due to a steep selloff in semiconductor shares. Worries about the possibility of renewed tensions between the US and Iran also pressured sentiment after Iran struck Israel, though US President Trump called on Israeli Prime Minister Netanyahu not to retaliate against Iran. Traders also awaited the release of US inflation data and China's inflation and trade balance figures, as well as New Zealand business PMI data later this week. Industrials, financial, healthcare, and utilities stocks mainly weighed on the index, with notable losses from Auckland International Airport (-2.8%), Fletcher Building (-1.9%), Infratil (-1.8%), Mainfreight (-1.6%), and Ebos Group (-1.5%), while Fisher & Paykel Healthcare and Freightways Group each dropped 1.3%.

The NZX 50 rose 60 points, or 0.5%, to close at 13,162 on Friday, erasing losses from the previous two sessions and rebounding from its lowest level since May 26, touched a day earlier, mainly boosted by financial, healthcare, and industrial stocks. Hopes that US-Iran peace talks could help end the war lifted sentiment following the Iran-Lebanon ceasefire. However, declines in the materials, technology, and consumer staples sectors capped the gains. Traders also awaited the release of US jobs data later in the day, as well as US inflation data and China's inflation and trade balance figures due next week. Domestically, investors anticipated the release of New Zealand economic data next week. Among the notable gainers were Ebos Group (3.1%), Infratil (1.5%), Mainfreight (1.1%), Fisher & Paykel Healthcare (0.9%), and Auckland International Airport (0.9%). For the week, however, the index fell 0.6%, marking its first decline in three weeks.