NZ sharemarket edges higher, Warehouse up after result

By NZPA

Friday 9th March 2007

The sharemarket made further modest progress today in early trade.

A 4c rise to $6.80 by The Warehouse after its half year profit result was the main feature on a lacklustre market.

It reported a first half operating profit after tax of $61 million, following its loss of $8m a year ago when losses from the sale of its Australian operation were booked.

The Warehouse, which lost 12c yesterday, said conditions were improving and it was comfortable with analysts' forecasts of $96m for full year profit.

The benchmark NZSX-50 index was up 6.01 points to 4075.42 at 10.10am. It had a similar rise yesterday.

Telecom built on yesterday's 5c gain to be up another 2c to $4.80.

Other leaders Fletcher Building and Contact Energy were unchanged.

Cavalier was the only other New Zealand stock in the top 50 to move more than 2c. It was down 3c to $3.45. Australian fund manager AMP was down 5c to $11.65.

Rakon, due to enter the top 50 next week, was down 3c to $4.82 after a good run this week on news of its promotion to the main board.

On Wall Street, US stocks extended a rebound from last week's sharp sell-off, as investors snapped up financial shares and strong monthly sales from key retailers overshadowed concerns about the subprime mortgage lending market.

The Dow Jones industrial average jumped 68.49 points, or 0.56%, for an unofficial close at 12,260.94. The Standard & Poor's 500 Index rose 9.86 points, or 0.71%, unofficially ending at 1401.83 and the Nasdaq Composite Index added 13.09 points, or 0.55%, to end unofficially at 2387.73.

Comments from our readers

No comments yet