NZX50 falls 1.3% in October; investors ponder smelter future, index reweighting

The benchmark index was down 1.72 points, or 0.02 percent, at 10,787.82 today, with 22 stocks falling, 21 rising and seven unchanged. Turnover was higher than usual at $217.3 million.

The local market has been one of the strongest performers across Asia-Pacific this year, with a low interest rate environment stoking demand among investors for New Zealand stocks, which typically offer reliable dividends. The dynamic looks set to stay in place after the Federal Reserve cut its key interest rate, although it signalled it probably wouldn't loosen monetary policy further, which would ease some of the pressure on other central banks to follow suit.

Kiwi Property Group led the market lower today, down 4.8 percent at $1.59, though that's still higher than the $1.58 price the shares were sold at in a $180 million placement yesterday. Trading resumed today after being halted for the capital raising, and Kiwi Property was the most traded stock on a volume of 4.4 million shares, well up on its 90-day average of 1.5 million.

Goodman Property Trust rose 0.2 percent to $2.13 on a volume of 2 million units, Property For Industry fell 1 percent to $2.385 with 1.4 million shares traded, Argosy Property was down 0.7 percent at $1.41 on a volume of 1.3 million, and Precinct Properties New Zealand fell 1.4 percent to $1.82 with 1 million shares traded.