Article – Businesswire

March 11 (BusinessWire) – New Zealand shares were mixed after the central bank kept its benchmark interest rate at a record low, helping push down the kiwi dollar. Fast-food franchise company Restaurant Brands gained and foodmaker Goodman Fielder …

MARKET CLOSE: NZ shares mixed after MPS, kiwi falls; RBD up, GFF down

March 11 (BusinessWire) – New Zealand shares were mixed after the central bank kept its benchmark interest rate at a record low, helping push down the kiwi dollar. Fast-food franchise company Restaurant Brands gained and foodmaker Goodman Fielder declined.

The NZX 50 Index fell 2.74, or 0.1%, to 3223.44. Within the index, 19 stocks fell, 16 rose and 14 were unchanged. Turnover was $76.5 million.

Restaurant Brands, which holds the franchise for the KFC, Pizza Hut and Starbucks outlets, rose 1.6% to $1.91 and has soared 172% in the past 12 months. The company this month posted a 67% gain in full-year profit, beating its own estimate.

Telstra Corp., Australia’s biggest phone company, climbed 2.8% to $4, mirroring gains in its ASX listed stock. Australia’s opposition is fighting a federal government bill that would split up the phone company as a precursor to the rollout of a A$43 billion broadband network.

In New Zealand, Reserve Bank Governor Alan Bollard reiterated that he may raise interest rates mid-year, saying the economic recovery is sluggish.

“Households are still cautious, with house sales and credit growth remaining subdued. Business spending is weak despite much improved confidence,” he said in Wellington today.

The kiwi dollar declined against the greenback and the Australian dollar after the statement, which bodes well for exporters.

Fisher & Paykel Appliances gained 1.6% to 74 cents. Michael Hill International, the jewellery chain that counts Australia as its biggest market, rose 1.4% to 74 cents.

Contact Energy Ltd., the biggest utility on the NZX 50, gained 0.7% to $6.13.

Carpet maker Cavalier Corp. advanced 0.7% to $2.80.

New Zealand manufacturing continued its slow but steady increase in output in February, with increased production and employment underpinning expansion.

The BNZ-Business New Zealand Performance of Manufacturing Index, which measures increases or decreases relative to a neutral 50 value, lifted 1.2 points to 53.3 in February compared to January.

Air New Zealand, which benefits when a weaker kiwi dollar makes the nation a more attractive destination, climbed 1.5% to $1.36. Auckland International

Airport, New Zealand’s busiest gateway, rose 0.5% to $1.94.

Allied Farmers Ltd., which has slashed in half the value of loans it took on from Hanover Finance and United Finance, fell 4% to 7 cents.

New Zealand Oil & Gas declined 1.9% to $1.56. Crude oil fell as the U.S. dollar strengthened and amid speculation the price has rallied too far given the outlook for demand in the U.S. New York crude fell to US$81.63 a barrel during Asia’s day, having reached US$82.09 yesterday.

(BusinessWire)

Content Sourced from scoop.co.nz
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