NZX50 rallies as exporters F&P Healthcare, a2 Milk advance on weaker kiwi

New Zealand’s S&P/NZX 50 index eked out a late gain in a mixed day across Asia, as exporters including Fisher & Paykel Healthcare, a2 Milk Co, Scales Corp and Sanford rallied amid a softer currency.

Local power companies were mixed as Meridian Energy and Mercury NZ gained while Contact Energy and Genesis Energy declined as Australia’s energy firms followed their global peers as the price Brent crude oil remained elevated.

Stock market operator NZX led the local bourse higher in the last full trading day of the year, with the benchmark NZX50 poised to deliver its third positive annual return in a row.  

Meanwhile, oil import terminal operator Channel Infrastructure dipped after reiterating its plans to keep pursuing jet fuel and diesel acquisitions across the Tasman, while Gentrack posted the steepest decline on the local benchmark after rival Kraken raised US$1 billion and was freed from shareholder Origin Energy’s exclusivity to use the platform in Australia.

Closing time

The NZX50 rose 22.14 points, or 0.2%, to 13,548.13, with 23 stocks gaining, 23 falling and four unchanged. Turnover was $60.6 million, of which Fisher & Paykel Healthcare accounted for $9.3 million as it advanced 0.5% $37.65.

The medical devices maker was among exporters helping buoy the local market as the kiwi dollar remained subdued, trading at 58.08 US cents at 5pm in Auckland from 5830 cents yesterday.

Of those exporters joining F&P Healthcare, Scales Corp gained 2.6% to $5.98, Sanford rose 2.3% to $7.45, a2 Milk advanced 0.9% to $10.75 and Skellerup Holdings increased 0.8% to $5.25.

Stock market operator NZX led the benchmark higher, rising 2.6% to $1.58. The NZX50 is heading for a 3.3% gain this year, with trading volumes down on 2024, albeit with an increased number of transactions.

Stock markets across Asia were mixed after a soft lead from Wall Street, with Australia’s S&P/ASX 200 index dipping 0.1% in late trading, while Singapore’s Straits Times Index gained 0.6% and Japan’s Nikkei 225 declined 0.3%.

Australian mining companies including BHP and Evolution Mining weighed on the ASX200 after the surge in silver and gold prices was halted overnight, although gold futures nudged up 0.7% to US$4,375 an ounce at 5pm in Auckland.

Local miners were mixed, with would-be gold miner Santana Minerals falling 2.8% to $1.05, while Manukua Resources climbed 5.9% to 10.8 cents.

Release the Kraken

Meanwhile, Australian energy companies broadly followed their global peers after oil prices gained overnight, with Brent crude futures down 0.1% at US$61.46 a barrel at 5pm in Auckland. Echelon Resources, the old New Zealand Oil & Gas, was unchanged at 33 Australian cents in late trading.

On this side of the Tasman, New Zealand’s primarily renewable power companies were mixed as Mercury NZ rose 1.3% to $6.48 and Meridian Energy advanced 0.7% to $5.55, while Contact Energy slipped 0.5% to $9.29 and Genesis Energy declined 1.2% to $2.40.

Channel Infrastructure slipped 0.4% to $2.86 after chief executive Rob Buchanan reiterated the import terminal’s intention to pursue diesel and jet fuel acquisitions across the Tasman in an interview with the Australian Financial Review.

Gentrack posted the biggest decline on the NZX50, falling 1.9% to $8.47 after rival platform Kraken raised US$1 billion and was released from Australian exclusivity to shareholder Origin Energy. The Australian energy company said Kraken is on track to hit its 100 million customer account target ahead of schedule.

Auckland International Airport was the most heavily traded company in the top 50 with a volume of 1.1 million as it dipped 0.5% to $8.28, while NZ King Salmon Investments rose 1% to 19.7 cents on an unusually large volume of 3.1 million, of which two trades accounted for almost 2.8 million shares changing hands at 19.5 cents.

Reporting by Paul McBeth. Image from PortCalls Asia on Unsplash.