FX.co ★ New Zealand Shares Poised to End Week Slightly Lower

New Zealand's stock market experienced a decline of 54 points, equivalent to 0.4%, settling at 13,462 during early trading on Friday. This marks the continuation of a downturn for a second consecutive session, primarily influenced by weaknesses in consumer durables, producer manufacturing, and retail trade sectors, which negatively impacted market sentiment. The NZX 50 benchmark index is poised for a modest weekly drop, reversing the previous week’s gains. This setback occurs amid investor caution ahead of the release of the U.S. Personal Consumption Expenditures (PCE) Index, an essential measure of inflation anticipated before the Federal Reserve’s final policy meeting of the year. In addition, market participants are keenly awaiting key economic data from China, including the Consumer Price Index (CPI), Producer Price Index (PPI), and trade statistics. At the same time, U.S. futures remained relatively stable as investors evaluated whether valuations in the artificial intelligence sector have become excessively high. Domestically, there is anticipation surrounding the upcoming Q3 manufacturing sales data, due for release next week, following the sector’s first decline in three quarters during Q2, attributed to weak demand and ongoing supply chain challenges. Among the significant decliners were Gentrack Group, down 1.4%, Vector Ltd., which fell 1.2%, Skellerup Holdings, decreasing by 1.1%, and Sanford Ltd., which dropped 0.8%.