FX.co ★ New Zealand Stocks Dip But Head for Weekly Gains

New Zealand shares dropped by 80 points, or 0.6%, to 12,825 during early trading on Friday, breaking a three-day uptrend as the sectors of logistics, healthcare, and transport experienced losses. The market retreated from its five-month peak, as investors opted to secure profits. The mood was further dampened by indications of mounting cost pressures, highlighted by the country's annual food inflation reaching its highest level in 18 months in June. Additionally, traders exhibited caution ahead of significant upcoming data releases, which include second-quarter consumer inflation and the June trade balance. Notable declines were seen in shares of Restaurant Brands NZ (-2.9%), Delegat Group (-1.7%), Serko (-1.0%), and Skellerup (-0.8%). Nonetheless, the NZX 50 is anticipated to conclude the week on a positive note, with a roughly 1% increase, bouncing back from recent downturns. Early week gains were bolstered by record highs on Wall Street, following U.S. President Trump's announcement that he has no intentions of dismissing Fed Chair Powell. Meanwhile, China, New Zealand's largest trading partner, committed to enhancing domestic consumption and addressing the electric vehicle price competition.