MARKET CLOSE: NZ shares fall, paced by Westpac, ANZ; FPH up

MARKET CLOSE: NZ shares fall, paced by Westpac, ANZ; F&P Healthcare gains

By Hannah Lynch

Oct. 19 (BusinessDesk) - New Zealand shares fell, paced by dual-listed trans-Tasman banks Australian & New Zealand Banking Group and Westpac Banking Corp. Fisher & Paykel Healthcare led gainers.

The NZX 50 Index fell 13.78 points, or 0.3 percent, to 3988.16. Within the index, 20 stocks fell, 18 rose and 12 were unchanged. Turnover was about $81 million.

Westpac fell 2.3 percent to $32.25 and ANZ shed 1.8 percent to $32.55, tracking declines in banking stocks on the ASX, where concerns are looming that lending will be curtailed by weak household demand.

"It is more of the Australian moves getting reflected here," said James Smalley, client adviser at Hamilton Hindin Greene.

The decline was led by Fletcher Building, New Zealand's largest listed company, down 2.9 percent to $7.37.

"It has had a good run so it's not surprising to see a little bit of profit taking," Smalley said. "It has recently gone ex dividend so you might have investors that went into the reinvestment scheme, so many may have put off selling."

Fisher and Paykel Healthcare, which gets more than 50 percent of its revenue in US dollars, rose 2.2 percent to $2.37.

"The big note of the day is Fisher & Paykel Healthcare performing despite the stubbornly high kiwi dollar," Smalley said. "Investors might be going from one Fisher & Paykel stock to another with people wanting to retain their exposure.

Fisher & Paykel Appliances ended the session unchanged at $1.265 after Chinese whiteware company, Haier yesterday lifted its offer to $1.28, winning control of the manufacturer.

Air New Zealand, the national carrier, rose 0.8 percent to $1.25 following a rejig of its executive structure from incoming chief executive Christopher Luxon. Seven people will report directly to Luxon, the same number as under current boss Rob Fyfe’s but with new titles.

Shares in SkyCity Entertainment Group rose 1 percent to $3.99 after the Auckland-based casino and hotel operator said full-year profit is expected to be “in the $140 millions”, in line with the 2012 result, with Darwin seen as a standout in otherwise flat trading conditions.

Shares in TeamTalk, the owner of the CityLink fibre-optic broadband service, fell 0.4 percent to $2.62. The Wellington company faces a courtroom showdown with a jilted minority shareholder who claim it has sought to take value from its subsidiary, Araneo.

(BusinessDesk)

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