On Monday, the S&P/NZX 50 index in New Zealand experienced a slight decline of 0.1%, reaching 12,679, as it continued the trend of losses from the previous week. This downturn was largely influenced by renewed concerns over global trade tensions following President Trump's announcement of a 30% tariff on imports from the EU and Mexico, set to begin on August 1. He also cautioned the possibility of additional tariffs on other nations, urging for a resumption of trade negotiations.
Domestically, the services sector in New Zealand remained in contraction throughout June, grappling with ongoing challenges such as low consumer confidence, rising living costs, and prevailing economic uncertainty. However, the market's decline was mitigated by favorable Chinese trade data, which alleviated worries about potential risks to New Zealand's exports, given the country's significant trade relationship with China.
In the stock market, notable declines were observed in Gentrack, which fell over 4%, along with Infratil (-1.1%), A2 Milk (-1.1%), Freightways (-1.4%), and Precinct Properties (-1.6%).
