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Indices

NZX 50 Erases Losses, Ends 0.5% Higher

The NZX 50 rose 72 points, or 0.5%, to close at 13,833 on Thursday, erasing its morning losses and extending gains from the previous session to reach its highest level since September 30. The index was mainly buoyed by gains in utilities, consumer staples, and real estate. A downbeat session on Wall Street overnight curbed gains, as faster-than-expected inflation data raised expectations of Fed rate hikes. Rising oil prices further pressured sentiment amid inflation concerns and the RBNZ’s tightening monetary policy. Caution also prevailed ahead of the release of New Zealand’s food inflation and business PMI data on Friday, while traders assessed a statement from RBNZ Chief Economist Paul Conway that rising oil prices and a weaker New Zealand dollar had added to near-term inflationary pressures, complicating the outlook for this month’s interest rate decision. Among the notable gainers were Mainfreight (2.9%), EBOS Group (2.9%), Westpac Banking Corp. (1.9%), and ANZ Group (1.4%).

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