NZ sharemarket gets a boost from Fonterra's positive news

The S&P/NZX 50 Index settled at 12,224.53, down 79.46 points or 0.65%, after reaching an intraday high of 12,356.31.

There was again strong trading, with 57.78 million shares worth $183.52m changing hands.

Fonterra Shareholders’ Fund was one of the leading gainers, rising 19c or 4.19% to $4.72 after the dairy co-operative reported revenue of $22.82 billion, down 7%, and net profit of $1.168b for the year ending July.

Fonterra, the country’s biggest company, is paying a special dividend of 15c a share on top of the final dividend of 40c on October 11, and the total 55c payout for the year is the second biggest in its history. It has exhausted its tax losses and will now be paying tax.