NZX 50 Retreats from Record High on Profit-Taking

New Zealand's stocks dropped 39 points, or 0.3%, to 13,937 in Thursday morning deals, as traders took profit after the index posted a third consecutive record high. The broader index tracked a decline on Wall Street overnight after the Fed held interest rates, while a selloff in chipmakers persisted ahead of major tech earnings. Rising oil prices also pressured sentiment further amid concerns that inflation risk could raise expectations of an interest rate hike. Traders also anticipated the release of New Zealand's July business confidence data due later today, after the figures hit a four-month high in June, as well as China's PMI due on Friday. Financials, communication services, and utilities mainly weighed on the index, with early decliners including Infratil (-1.1%), Scales Corporation (-0.8%), and ANZ Group (-0.5%). Meanwhile, Westpac Banking Corporation, Mainfreight, and Ebos Group each fell 0.3%.

New Zealand's stocks rose 115 points, or 0.8%, to close at a record high of 13,977 on Wednesday, marking their third consecutive record close, with almost all sectors trading in the green. The gains were mainly driven by materials, healthcare, consumer staples, and communication services. Traders maintained momentum as they braced for the upcoming earnings season next month, though oil prices rebounded amid renewed escalation of the conflict in the Middle East and the global tech selloff. However, traders remained cautious ahead of the Fed's interest rate decision later today. The top performer was AFT Pharmaceuticals (7.6%) after the company said its portfolio of projects opened the business up to multi-billion-dollar market opportunities. Other notable gainers were Ebos Group (4.6%), Fisher & Paykel Healthcare (2.5%), Chorus (2.5%), Delegat Group (1.7%), A2 Milk (1.4%), Mercury NZ (1.2%), Auckland International Airport (0.9%), and Infratil (0.9%).

New Zealand's stocks climbed 15 points, or 0.1%, to 13,877 in Wednesday morning trade, supported by gains in real estate, energy, consumer discretionary stocks, financials, and communication services. The broader index hit a new intraday record high after closing at a record high of 13,862 a day earlier, marking its second consecutive record close. Traders tried to maintain momentum, though oil prices rebounded amid renewed escalation of the Middle East conflict. However, traders remained cautious ahead of the Fed's monetary policy decision and China's PMI data, as well as the release of New Zealand's consumer confidence and business outlook data for July, due later this week. Among the early gainers were AFT Pharmaceuticals (2.2%), Delegat Group (1.9%), Ventia Services Group (1.8%), Chorus (1.2%), Ebos Group (1.1%), Channel Infrastructure NZ (0.9%), and Freightways Group (0.7%).