New Zealand Stocks Trade Flat in Morning Session

The NZX 50 was almost flat, trading around 13,453 in Tuesday morning trade after falling in the prior session, as gains in industrials, consumer staples, and real estate stocks were offset by declines in energy, communication services, and healthcare. Traders also anticipated the release of the US final Q1 GDP data and the May PCE Price Index, due this week, for clues on the Fed's monetary policy decision at its upcoming meeting, after it held interest rates steady last week. Investors also continued to monitor developments in US-Iran peace talks amid Israel's attacks across southern Lebanon despite ongoing diplomatic efforts. Turners Automotive Group advanced 1.5%, A2 Milk rose 1.2%, and Ryman Healthcare climbed 0.9%, while Meridian Energy, Summerset Group, and Auckland International Airport fell 0.7%, 0.6%, and 0.5%, respectively.

The NZX 50 dropped 50 points, or 0.4%, to close at 13,446 on Monday, reversing its morning strength and erasing gains from the prior session, mainly weighed down by losses in energy, consumer discretionary, and technology stocks. The broader index retreated from its highest level since March 6, reached on Friday, with consumer staples rising 0.8% after jumping more than 5% in the morning session. The moderation came as A2 Milk rose 1.7%, slowing sharply from an over 11% surge in morning trading after the company received highly coveted regulatory approval from China to produce infant formula at Pokeno. However, easing oil prices helped limit the decline, supported by news that progress had been made in US-Iran peace deal talks. Among the biggest decliners were Gentrack Group (-4.9%), Channel Infrastructure (-2.2%), South Port NZ (-1.6%), Contact Energy (-1.4%), Mercury NZ (-1.4%), Henderson Far East Income (-1.1%), Hallenstein Glasson (-1.0%), and Mainfreight (-0.8%).

The NZX 50 climbed 54 points, or 0.4%, to 13,549 in Monday morning trade, extending gains from the prior session, mainly supported by advances in consumer staples, materials, and healthcare stocks. Consumer staples surged 5.6%, boosted by a jump in A2 Milk, which soared 11.1% after the company received highly coveted regulatory approval from China to produce infant formula at Pokeno. The broader index hit its highest level since March 4, extending its second weekly rise as last week's data continued to support sentiment. New Zealand's GDP growth accelerated to 0.8% qoq in Q1, while annual growth held steady at 1.5%. However, a decline in US futures capped the gains, as President Trump's threats to restart the war with Iran, even as Vice President JD Vance met with Iranian officials for the first talks under an interim peace deal, weighed on sentiment. Other early gainers included Gentrack Group (2.1%), AFT Pharmaceuticals (1.9%), F&C Investment Trust (1.7%), and Fisher & Paykel (0.9%).