New Zealand shares slipped 21 points, or 0.2%, to 13,954 in Monday morning trade, giving back some of the prior session’s gains. The move followed Friday’s decline on Wall Street, as stronger-than-expected US labor data reinforced expectations that the Federal Reserve will raise interest rates at its upcoming meeting.
Sentiment was also restrained ahead of key Chinese data due later this week, including CPI, PPI, and August trade figures. Investors continued to track developments in the Middle East conflict after Tehran said it had targeted oil tankers in retaliation for US strikes.
Domestically, traders digested Friday’s comments from RBNZ Assistant Governor Karen Silk, which suggested the central bank is more likely to wait until December before implementing another rate hike.
Sector-wise, technology, consumer discretionary, energy, and financial stocks exerted the most pressure on the index. Notable early decliners included Ryman Healthcare (-1.0%), ANZ Group (-0.8%), Infratil (-0.8%), and Channel Infrastructure (-0.6%).
