Stocks up despite overseas weakness

06:31, Sep 20 2012

The New Zealand sharemarket rose today despite weakness in Asian markets, as local Gross Domestic Product data for the second quarter overshot expectations with a 0.6 per cent improvement.

The NZX50 index was up 0.6 per cent or 21.38 points to 3819.28. Within the index, 31 stocks rose, 12 fell and seven were unchanged.

Craigs Investment Partners head dealer Bryon Burke said that despite overseas markets being down, New Zealand's main bourse was showing strength.

"The only stocks on the downside are the ones that have had strong runs lately, just down with a little bit of profit taking. Overall, GDP came in quite strong and that had a strong flow through."

The leading stock was outdoor clothing and equipment retailer Kathmandu Holdings, up 2.9 per cent to $1.75 after announcing its profit had fallen but sales were up 13.4 per cent to NZ$347.1m.

"Apparently sales were okay, which is pretty good for this environment and more than the forecasts which were quite conservative," Burke said.

Markets operator NZX Limited rose 2.7 per cent to $1.13. OceanaGold was up 2.2 per cent to $3.78. Contact Energy rose 2.1 per cent to $5.29.

Carpet maker Cavalier was up 2 per cent to $2.04. Port of Tauranga hit another new high at $12.95, up 2 per cent on the day. Freightways rose 1.9 per cent to $4.23.

Rubber goods and milking equipment manufacturer Skellerup Holdings rose 1.8 per cent to $1.69. Insurer Tower rose 1.7 per cent to $1.80.

The largest decline came from New Zealand Refining, down 3.5 per cent to $2.74.

Would-be bank Heartland was down 1.6 per cent to 62c. International trucking and logistics company Mainfreight fell 1.2 per cent to $10.50.

Jewellery retailer Michael Hill International was down 0.8 per cent to $1.18. Trade Me Group was down 0.75 per cent to $3.99. Ryman Healthcare, the retirement villages operator and developer, fell 0.7 per cent to $4.09.

Westpac Bank fell 0.7 per cent to $30.65. Chorus was down 0.6 per cent to $3.35. Goodman Property Trust fell 0.5 per cent to $1.03.

TrustPower was down 0.4 per cent to $8.02. Diligent Board Member Services fell 0.3 per cent to $3.84. Clothing retailer Hallenstein Glassons was down 0.2 per cent to $4.49.