NZX 50 Ends 0.7% Lower, Snaps 3-Day Winning Streak
The NZX 50 shed 98 points, or 0.7%, to close at 13,699 on Monday, halting gains from the prior three sessions and tracking a decline on Wall Street on Friday due to a sell-off in major tech stocks. Caution also built ahead of the release of New Zealand's Q3 unemployment data due later this week, while traders remained concerned about signals of a possible interest rate hike at the RBNZ's December meeting amid the risk of rising inflation. Disappointing Chinese PMI data also pressured sentiment, as the government's survey showed that factory activity unexpectedly contracted in October, while the private survey showed that manufacturing growth eased. However, moderating oil prices eased inflation concerns. The broader index moved away from its highest level since October 15, touched on Friday, mainly weighed down by materials and healthcare. Notable losers included Fisher & Paykel (-3.2%), Chorus (-2.0%), Freightways Group (-2.0%), and Westpac Banking Corp. (-1.1%).
The NZX 50 shed 98 points, or 0.7%, to close at 13,699 on Monday, halting gains from the prior three sessions and tracking a decline on Wall Street on Friday due to a sell-off in major tech stocks. Caution also built ahead of the release of New Zealand's Q3 unemployment data due later this week, while traders remained concerned about signals of a possible interest rate hike at the RBNZ's December meeting amid the risk of rising inflation. Disappointing Chinese PMI data also pressured sentiment, as the government's survey showed that factory activity unexpectedly contracted in October, while the private survey showed that manufacturing growth eased.
However, moderating oil prices eased inflation concerns. The broader index moved away from its highest level since October 15, touched on Friday, mainly weighed down by materials and healthcare. Notable losers included Fisher & Paykel (-3.2%), Chorus (-2.0%), Freightways Group (-2.0%), and Westpac Banking Corp. (-1.1%).