{"id":59162,"date":"2025-10-04T02:17:10","date_gmt":"2025-10-04T02:17:10","guid":{"rendered":"https:\/\/www.newsbeep.com\/nz\/59162\/"},"modified":"2025-10-04T02:17:10","modified_gmt":"2025-10-04T02:17:10","slug":"leaders-property-sector-helps-drive-nz-stocks-higher-market-close","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/nz\/59162\/","title":{"rendered":"Leaders, property sector helps drive NZ stocks higher \u2013 Market close"},"content":{"rendered":"Price said there had been limited direction from overseas markets overnight, and trade at the end of school holidays was typically light.<\/p>\n
Markets are preparing for next Wednesday\u2019s Official Cash Rate (OCR) review from the Reserve Bank and have fully priced in a 25 basis point fall to 2.75%, with an outside chance of a 50 basis point cut.<\/p>\n
\u201cOne thing you have got to remember is that when the Reserve Bank did the forecasting, they had forecast a second quarter contraction in GDP of 0.3% and it came in at 0.9%, so they have been a bit behind the curve,\u201d Price said.<\/p>\n
Forsyth Barr expects the OCR to be down by 75 basis points by the year\u2019s end, and Price said expectations of lower rates were driving rate-sensitive stocks higher.<\/p>\n
\u201cProperty has continued to be the shining light,\u201d Price said.<\/p>\n
\u201cThey had a really strong month last month, and you\u2019re still looking at pretty attractive yields for a number of them.<\/p>\n
\u201cThey\u2019ve been sort of a bit unloved of late, but they have come in for quite a bit of attention.<\/p>\n
\u201cWhat we have seen over the last few months is a lot of the stocks go from being quite big discounts to some of them now just going at slight premiums.\u201d<\/p>\n
Price expected the property stocks to show dividend growth because their financing costs should fall as a result of swap rates having fallen sharply.<\/p>\n
Kiwi Property firmed 2c or 1.9% to $1.08 while the S&P\/NZX All Real Estate Index firmed 20.4 points or 1.11% to end at 1861.77.<\/p>\n
SkyCity Entertainment Group, which had been languishing after a poorly supported capital raise, firmed 4.5 to 71.5c.<\/p>\n
On the downside, a2 Milk dropped 35c or 3.37% to $10.05 and Auckland International Airport fell 9c (1.1%) to $7.91.<\/p>\n
Price said both Auckland Airport and a2 Milk were strong going into the end of last month, but were now retracing from \u201coverbought\u201d positions.<\/p>\n
The Warehouse ended 1c down at 79c after this week reporting a disappointing annual result.<\/p>\n
The broadly break-even outcome was largely as expected but was still a let-down in light of The Warehouse\u2019s $3.1 billion of reported sales and almost $1b of gross profit.<\/p>\n
\u201cWe take some comfort in management\u2019s focus on returning to profitability through gross margin recovery and right-sizing of its head office costs,\u201d Forsyth Barr said in a report.<\/p>\n
Jamie Gray is an Auckland-based journalist, covering the financial markets, the primary sector and energy. He joined the Herald in 2011.<\/p>\n
Listen and subscribe to the Today in Business<\/a> podcast \u2013 the top headlines from the NZ Herald business team summarised and delivered by an AI voice as an easily digestible recap.<\/p>\n","protected":false},"excerpt":{"rendered":"Price said there had been limited direction from overseas markets overnight, and trade at the end of school…\n","protected":false},"author":2,"featured_media":59163,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[138,48977,651,4480,48979,13988,9832,34888,13484,3242,26477,424,6804,225,48976,111,139,69,48978,814,12975,1125,5652,544,643,584,80],"class_list":["post-59162","post","type-post","status-publish","format-standard","has-post-thumbnail","category-business","tag-business","tag-capitalisation","tag-close","tag-drive","tag-firmer","tag-gains","tag-helped","tag-helps","tag-higher","tag-large","tag-leaders","tag-life","tag-light","tag-market","tag-modest","tag-new-zealand","tag-newzealand","tag-nz","tag-propel","tag-property","tag-sector","tag-sharemarket","tag-signs","tag-some","tag-stocks","tag-trade","tag-zealand"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/59162","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=59162"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/59162\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/59163"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=59162"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=59162"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=59162"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}