NZ shares outperform Asia; Contact, Meridian in demand

The S&P/NZX 50 Index climbed 153.92 points, or 1.4 percent, to 10,953.92. Within the index, 30 stocks rose, 10 fell and 10 were unchanged. Turnover was $107.6 million.

The local index was one of just five benchmark stock markets tracked by Refinitiv to rise today, with Japan's Topix the next best, up 0.6 percent in afternoon trading. Wall Street was closed for the Labor Day holiday in the US, leaving investors to focus on the lingering trade war between the US and China and whether the UK and Europe will resolve Brexit.

The Reserve Bank of Australia kept its target cash rate at 1 percent today, whereas investors still expect New Zealand's central bank to cut the benchmark rate later this year. Low rates are a two-fold boon for equities in that they make dividends more attractive than term deposits or bonds, and they provide cheaper funding for firms to invest.

"We're leading the race today, well and truly. Our friends across the ditch are in negative territory now and we continue to go upwards," said Peter McIntyre, an investment advisor at Craigs Investment Partners.