Milk shares droop on trade tensions; Local market follows Asia lower

The S&P/NZX 50 Index fell 97.84 points, or 0.9 percent, to 10,766.03. Within the index, 28 stocks fell, 13 rose and nine were unchanged. Turnover was reasonable at almost $111 million, with defensive utility and property stocks dominating those trading on more than a million shares.

Peter McIntyre, an investment adviser at Craigs Investment Partners, said all the Asian markets were weaker today.

As well as US President Donald Trump’s threat of increased tariffs against China, investors are also concerned at the potential for a snap election in the UK. Strikes and unrest in Hong Kong indicate ongoing tensions within China, he said.

“We are being led from the US. Investors are getting nervous and turnover is still relatively low,” he added.