MARKET CLOSE: NZ shares rise on broker picks, global gains

Article – BusinessDesk

Jan. 3 (BusinessDesk) New Zealand shares rose on the first trading day of 2013, following gains on Wall Street, as investors drove up companies that have featured on broker lists for 2013, such as PGG Wrightson and Ryman Healthcare.

MARKET CLOSE: NZ shares rise on broker picks, global gains; Wrightson leads

Jan. 3 (BusinessDesk) – New Zealand shares rose on the first trading day of 2013, following gains on Wall Street, as investors drove up companies that have featured on broker lists for 2013, such as PGG Wrightson and Ryman Healthcare.

The NZX 50 Index rose 15.85 points, or 0.4 percent, to 4082.36. Within the index, 33 stocks rose, eight fell and nine were unchanged. Turnover was a lower-than-average $49.6 million.

Wrightson, the nation’s biggest rural services company, rose 4.6 percent to 46 cents, the highest since August 30 last year. The company was one of three along with Ryman and Diligent Board Member Services to be picked by three brokerages in an NZ Herald survey.

Ryman rose 2.9 percent to $4.68 and Diligent advanced 0.6 percent to $5.50.

“There’s money chasing these broker picks in a very illiquid market,” said Matthew Goodson, portfolio manager at BT Funds Management. Helping sentiment, “there appears to be a very nice recovery occurring in the US. Housing has well and truly bottomed and we had a reasonable ISM.”

Markit’s US Manufacturing Purchasing Managers Index rose to 54, higher than expected, and taken with the agreement in Washington on the fiscal cliff, helped the Dow Jones Industrial Average to climb 2.4 percent yesterday.

Fletcher Building, the biggest company on the NZX 50, rose 0.8 percent to $8.46 while Telecom fell 2.9 percent to $2.21.

Guinness Peat Group was unchanged at 59.5 cents after the investment firm said it had realised another 18.7 million pounds selling assets including wholly-owned subsidiary Gosford Quarry Holdings and stakes in Metals X, GME Resources, Nationwide Accident Repair Services, Sysmedia Group and Touch Holdings.

Xero, the cloud-based accounting service that soared in 2012, fell 1.6 percent to $7.48.

Skellerup Holdings, also featured among broker picks for 2013, rose 1.9 percent to $1.62. Contact Energy, the biggest power company on the benchmark index, rose 1.5 percent to $5.28.

Auckland International Airport, New Zealand’s busiest gateway, rose 1.5 percent to $2.71 and Infratil, a diversified investment company, gained 1.3 percent to $2.30.

Among small cap stocks, Pacific Edge, which is selling a test for bladder cancer, rose 5.6 percent to 57 cents. Dorchester Pacific rose 3 percent to 34 cents.

(BusinessDesk)

Content Sourced from scoop.co.nz
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