Bargain hunters drive NZ shares higher

The S&P/NZX 50 Index rose 170 points, or 1.4%, to 12,058.94. Turnover was $156.3 million.

ASB economist Nathaniel Keall said analysts had struggled to pin a narrative on the sudden shift in the mood but “a spot of bargain hunting after last week’s tumbles” was one suggestion.

Investment bank JP Morgan told clients the equity market sell-off had been “overdone” and reiterated their call to “buy the dip”.

“The stock market is not only in correction, it is already in bear market territory without a recession in sight,” JP analysts wrote in a note.