FX.co ★ NZX 50 Trades Lower in Morning Trade

The NZX 50 fell 44 points, or 0.3%, to 13,160 in Wednesday morning trade, wiping out the previous session’s gains and pulling back from its highest level since May 29, reached on Tuesday. The move tracked a decline in US futures amid renewed tensions in the Middle East. Reports indicated that the US military had launched strikes against Iran in response to the downing of an American helicopter, stoking concerns about higher oil prices. Caution also prevailed ahead of the release of Chinese consumer and producer price data later in the day, with the backdrop of already rising oil prices. Financial, energy, industrial, and consumer staple stocks led the market lower, with notable declines in Fletcher Building (-2.2%), Scales Corporation (-1.3%), Mainfreight (-1.1%), F&C Investment Trust (-1.0%), Infratil (-0.7%), and ANZ Group (-0.3%).