FX.co ★ New Zealand Stocks Close Lower

Investors saw New Zealand's key index, the S&P/NZX 50, dip 0.5% on Tuesday, closing at 12,359. This movement came as participants returned from an extended weekend to gauge intensifying global trade strains. On Monday evening, China dismissed allegations from the United States accusing it of trade deal violations, instead holding Washington accountable for not adhering to the agreement, suggesting a worsening relationship between the two nations. Meanwhile, the European Union voiced criticism over President Trump's intention to raise steel tariffs to 50%, cautioning that such a move could disrupt current negotiations and hinting at possible retaliatory steps. Additionally, disappointing data on Chinese factory performance sparked concerns about New Zealand's exports, considering China’s significant position as a trading partner. Notably, A2 Milk experienced the steepest decline, falling nearly 5%. Other significant drops were seen in Infratil (-1%), Mercury NZ (-1.4%), Contact Energy (-1.1%), and Mainfreight (-2%).