NZX 50 Ends Higher but Posts 2nd Straight Monthly Decline
The NZX 50 advanced 87 points, or 0.6%, to close at 13,797 on Friday, extending gains from the previous two sessions as traders capitalized on momentum after both the RBNZ and the Fed held interest rates. Moderating oil prices lifted sentiment, easing inflation concerns and expectations of interest rate hikes. However, gains were limited by signals of a possible interest rate hike at the RBNZ's December meeting amid the central bank's efforts to combat rising inflation. Currently, traders are pricing in a 76% chance of a hike in December. The latest data also capped gains, as consumer confidence eased to a four-month low amid high fuel prices. The broader index hit its highest level since October 15, supported by the real estate, communication services, and energy sectors, with notable gains in Chorus (2.6%), EBOS Group (2.0%), A2 Milk (1.7%), and Ventia Services (1.7%). For the week, the index rose 0.5%, while it fell 0.3% for the month, marking its second straight monthly decline.
The NZX 50 advanced 87 points, or 0.6%, to close at 13,797 on Friday, extending gains from the previous two sessions as traders capitalized on momentum after both the RBNZ and the Fed held interest rates. Moderating oil prices lifted sentiment, easing inflation concerns and expectations of interest rate hikes. However, gains were limited by signals of a possible interest rate hike at the RBNZ's December meeting amid the central bank's efforts to combat rising inflation. Currently, traders are pricing in a 76% chance of a hike in December.
The latest data also capped gains, as consumer confidence eased to a four-month low amid high fuel prices. The broader index hit its highest level since October 15, supported by the real estate, communication services, and energy sectors, with notable gains in Chorus (2.6%), EBOS Group (2.0%), A2 Milk (1.7%), and Ventia Services (1.7%). For the week, the index rose 0.5%, while it fell 0.3% for the month, marking its second straight monthly decline.