NZX50, kiwi soar on US-Iran circuit breaker; RBNZ stays on hold

New Zealand’s S&P/NZX 50 index and the kiwi dollar surged after US President Donald Trump announced a 10-day ceasefire with Iran, sending oil prices lower and reviving investors’ appetite for riskier assets.

Travel and tourism companies led the local benchmark higher, with Tourism Holdings, Auckland International Airport, SkyCity Entertainment Group and Air New Zealand among those on the green side of the ledger.

KMD Brands edged lower in heavy trading on the second day of the retail offering to raise $58.5 million to help shore up its balance sheet.

Meanwhile, the Reserve Bank kept the official cash rate at 2.25%, with governor Anna Breman saying the central bank will act “decisively and timely” if inflationary pressures start bedding in, but that the monetary policy committee wasn’t close to hiking at this meeting.