The NZX 50 finished Tuesday’s session flat at 13,763, paring back earlier gains but still closing at a record high. Strength in healthcare and communication services balanced weakness in consumer staples, materials, and utilities.
Market participants remained cautious ahead of the RBNZ’s monetary policy decision on Wednesday, with consensus expectations pointing to a 25 bp increase in the policy rate to 2.5%. Investors were also awaiting the release of the Federal Reserve’s June meeting minutes for further clarity on the future path of US interest rates.
Sentiment was nonetheless supported by an overnight rally on Wall Street, led by technology stocks and helped by easing oil prices. As inflation worries moderated, expectations for additional interest rate hikes were scaled back.
Among individual movers, AFT Pharmaceuticals climbed 4.9%, Fisher & Paykel gained 1.3%, and both Ebos Group and Westpac Banking Corporation advanced 1.4%. On the downside, A2 Milk, Contact Energy, and Vulcan Steel each declined 1.7%, while Vector Limited slipped 1.0% and Summerset Group fell 0.7%.
