New Zealand shares rose 17 points, or 0.1%, to 13,810 in Wednesday morning trade, recouping losses from the previous two sessions. The market was supported by gains in communication services, utilities, technology, and real estate stocks. Sentiment was further underpinned by a report from Moody’s, which said New Zealand’s economic recovery is underway, while noting that several challenges remain unresolved.
Upside was limited, however, by a weaker session on Wall Street, as rising oil prices amid escalating conflict in the Middle East fueled inflation concerns and strengthened expectations of further interest rate hikes by central banks. Investors also remained cautious ahead of the release of China’s consumer and producer price data later today, amid persistently soft domestic demand.
Notable early gainers included Gentract Group (up 2.1%), Sanford (1.8%), Mercury NZ (1.4%), Contact Energy (0.7%), and F&C Investment Trust (0.5%).
