FX.co ★ NZX 50 Extends Losses on New US Tariffs

New Zealand's S&P/NZX 50 index fell by 0.7% to close at 12,729 on Friday, marking a third day of consecutive losses and reaching its lowest point since July 23. This downturn followed President Donald Trump's announcement of heightened tariffs on several countries, with New Zealand facing a base tariff increase to 15% from the previous 10% declared in April. This development has intensified apprehensions about the future of New Zealand’s export-dependent economy. Domestically, consumer confidence in New Zealand decreased in July, driven by expectations of rising inflation. Investors are now turning their attention to the forthcoming US non-farm payrolls data, anticipating insights into the Federal Reserve’s future interest rate decisions. The decline was notably led by health technology stocks, with major players like Fisher & Paykel and Ebos Group experiencing losses of 2.2% and 2.25%, respectively. In addition, Fletcher Building, a construction materials manufacturer, saw a drop of 1.3%. Real estate stocks also performed poorly. Over the week, the NZX 50 decreased by 1%, marking its second consecutive weekly loss.