Stocks up in reshuffle
The New Zealand stock market faced major indexation changes today in the way markets' operator NZX Limited calculated the positioning of stocks, with Telecom and Fletcher Building's representation being increased while Contact Energy and pay TV operator Sky Network Television would be reduced.
The NZX50 index was up 0.9 per cent or 30.98 points to 3447.07. Within the index, 30 stocks rose, 12 fell and eight were unchanged.
Tyndall Investment Management domestic equities manager Rickey Ward said a lot of investors would have been waiting in the wings for the amendments to the NZX to come through.
"The NZX50 and portfolio index has gone through an amendment in the methodology of how they calculate the indices and that gets implemented today. There are a number of stocks that are impacted as a result of those changes," Ward said.
"The main two are Contact Energy and Sky TV which is why there has been a bit of pressure on them in the last couple of days. These changes have been very well flagged so people are positioning themselves now for it. There has been reasonable volume through the market today but as a general rule outside of those index changes people are probably sitting on the sidelines waiting to see what will happen with the Greek elections."
Sky TV was down 0.8 per cent to $4.90 while Contact Energy rose 1.9 per cent to $4.78. Telecom rose 3.1 per cent to $2.48 and Fletcher Building rose 2.4 per cent to $2.12.
The leading gainer was jewellery retailer Michael Hill International, up 3.9 per cent to $1.06. Investment holding company Guinness Peat Group rose 3.3 per cent to 47c.
Outdoor clothing and equipment company Kathmandu Holdings rose 2.8 per cent to $1.48. Hallenstein Glassons rose 2.5 per cent to $4.06. Fisher & Paykel Healthcare, the maker of breathing masks and respirators, was up 2.4 per cent to $2.12.
Xero Limited was up 2.4 per cent to $4.78. Rubber goods and milking equipment manufacturer Skellerup Holdings was up 2.2 per cent to $1.40. Property for Industry rose 2.2 per cent to $1.17.
New Zealand Refining was up 2 per cent to $2.50. Industrial chemicals and resins maker Nuplex was up 2 per cent to $2.54. Restaurant Brands, the operator of fast food chains KFC and Pizza Hutt, rose 2 per cent to $2.06.
National carrier Air New Zealand rose 1.8 per cent to 86c. Vital Healthcare Property Trust rose 1.6 per cent to $1.24. Markets operator NZX Limited was up 1.6 per cent to $1.25.
Australian food ingredient maker Goodman Fielder was up 1.4 per cent to 73c. Port of Tauranga rose 1.4 per cent to $11.15.
Insurer Tower led the declining stocks with a 3.1 per cent fall to $1.56. OceanaGold was down 2.6 per cent to $2.66. Trade Me Group dropped 2.5 per cent to $3.56.
Auckland electricity and gas supplier Vector was down 1.9 per cent to $2.58. Goodman Property Trust fell 1.5 per cent to 99c. Chorus was down 1.3 per cent to $3.11.
International trucking and logistics company Mainfreight fell 1.2 per cent to $9.60. TrustPower was down 1.2 per cent to $7.51. AMP NZ Office fell 1.05 per cent to 94c.
Auckland International Airport fell 0.2 per cent to $2.47. ANZ Bank fell 0.3 per cent to $27.35.