New Zealand share prices closed 1.30 percent lower Friday after US stocks ended their run of gains, dealers said. The benchmark NZX-50 index fell 34.18 points to 2,599.03 on turnover worth 106.7 million New Zealand dollars (59.5 million US). "Markets are having a bit of a mixed day.
We seem to be seeing a bit of a correction from recent gains," Brad Gordon, adviser at Macquarie Equities, told Dow Jones Newswires. Gordon said there were some hopeful signs for the New Zealand market next week.
"Buyers seem to be cautiously getting in. Obviously things will depend on offshore events next week," he said. Market leader Telecom fell 12 cents to 2.33 dollars in heavy volume, which Gordon said could be linked to switching by investors to Australias dominant telecommunications company Telstra. Shares of chemicals and resins maker Nuplex plunged 56 cents to 51 cents after it said it will raise 132.8 million dollars in a one-for-seven rights issue at 23 cents a share.
The rights issue was forced on the company by its bankers after Nuplex breached debt covenants. Electronics components Rakon dropped six cents to 1.21 dollars, and Fisher & Paykel Healthcare slipped 14 cents to 3.06. New Zealand Oil & Gas rose three cents to 1.40 dollars after being awarded a new offshore exploration permit. Casino operator Sky City fell three cents to 2.74 dollars, and Fisher & Paykel Appliances fell two cents to 37 cents.