Serko, Tourism Holdings tumble as Iran fears knock NZX50

New Zealand’s S&P/NZX 50 index fell for a third day, with stock markets battered across Asia as optimism for a ceasefire in the Middle East waned after US President Donald Trump’s threats to attack Iranian energy infrastructure.

Travel and tourism stocks were knocked as Serko and Tourism Holdings led the local benchmark lower, with oil prices remaining elevated and reports of international visitors cancelling their trips to New Zealand over flight disruptions.

Meanwhile, the yield on government bonds jumped after Fitch Ratings put the government on notice over its mounting debt, sapping appetite for commercial landlords such as Property for Industry and Investore Property, which are typically held for their reliable dividends.

The Fonterra Shareholders’ Fund was one of the standouts on the day, joining a handful of exporters higher as the kiwi dollar fell, with the dairy cooperative reporting an 11% lift in first-half operating profit and lifting the forecast farmgate return.