You are using an older browser version. Please use a supported version for the best MSN experience.

Wall Street slide takes NZ shares for ride

NZ NewswireNZ Newswire 12/05/2016 Sophie Boot

The S&P/NZX50 Index dropped 21.17 points © NZX Limited / Twitter The S&P/NZX50 Index dropped 21.17 points New Zealand shares joined a slide in equity markets that started on Wall Street and continued into Asia. Westpac Banking Corp, Air New Zealand and Xero dropping while Sky Network Television gained.

The S&P/NZX50 Index dropped 21.17 points, or 0.3 per cent, to 6,923.17. Within the index, 22 stocks rose, 19 fell and nine were unchanged. Turnover was $185.6 million.

"The local market took a bit of a breather today, there was offshore negativity and the New Zealand dollar movements aren't good for some stocks on the index," said Grant Williamson, director at Hamilton Hindin Greene.

Markets across Asia mostly traded lower, following Wall Street's negative lead dragged down by disappointing results from retailers Disney and Macy's.

Westpac fell 4.8 per cent or $1.64 to $32.36. It gave up rights to a 94 cent dividend.

Air New Zealand dropped 4.2 per cent to $1.82, A2 Milk Co shed 4.2 per cent to $2.28, while Meridian Energy declined 2.9 per cent to $2.66.

Xero fell 1.7 per cent to $15.42.

Nuplex Industries rose 0.8 per cent to $5.33. The company raised its 2016 earnings guidance, reflecting a stronger performance in the EMEA (Europe, the Middle East and Africa) and the Americas in March and April.

Restaurant Brands was the biggest gainer, up 2.3 per cent to $5.45. NZX rose 2 per cent to $1.01 while Summerset Group Holdings rose 1.6 per cent to $4.46.

Sky TV halted its slide, rising 1.5 per cent to $4.12. The stock dropped 26 per cent over four sessions of losses since last Friday after saying subscriber numbers were expected to fall further this financial year, causing earnings next year to miss analyst estimates.

"It has been savaged this week, but hasn't fallen any further today," Williamson said. "Investors will be pretty cautious, a number of analysts are saying they need to change their models for that stock."

Outside the main index, Delegat Group was unchanged at $5.99. The winemaker that retails under brands including Oyster Bay says it has completed the 2016 harvest, with yields in New Zealand up 33 per cent on a difficult 2015.

Energy Mad was unchanged at 6.5 cents.

image beaconimage beaconimage beacon