NZ shares follow ASX higher on optimism over US trade deal

The S&P/NZX 50 Index rose 111.54 points, or 1.1 percent, to 10,139.15. Within the index, 30 stocks gained, 15 fell, and five were unchanged. Turnover was $118.5 million.

The local market lagged behind its Australian counterpart. The S&P/ASX 200 Index was up 1.5 percent in late trading, with investors returning to work after the US put off imposing tariffs on Mexican goods. The prospect of the Federal Reserve cutting US interest rates to offset the impact of the White House's combative trade stance had also buoyed global equity markets.

New Zealand's equity market was unusually quiet yesterday with Australian markets closed for the Queen's Birthday holiday. The NZX was one of just two benchmark indices to decline across Asia yesterday.

"It's all about trade between the US and anybody else," said Grant Davies, an investment advisor at Hamilton Hindin Greene. "That's where the market's looking."