Sharemarket has a muted response to Reserve Bank move

As widely expected, the Reserve Bank of NZ (RBNZ) left the cash rate unchanged at 5.5% – for the first time since late 2021 - but warned it would likely need to stay there for some time.

The S&P/NZX 50 Index stayed slow and steady on the announcement and closed at 11,908.27, down 1.53 points or 0.01%.

There were 78 gainers and 46 decliners on the main board, with 33.19 million shares worth $111.37m changing hands.

David McConnochie, investment adviser with Forsyth Barr, said there weren’t any surprises in the RBNZ announcement. “It provides more stability around what is happening with interest rates, and the market was pretty flat.”