NZX50 starts May on a high, climbs 1.3% this week

New Zealand’s S&P/NZX 50 index snapped two weekly declines as the benchmark index gained 1.3% this week, as more modest pricing intentions by firms gave investors reason to reconsider how aggressively the Reserve Bank would hike interest rates later this year.

Fletcher Building led the NZX50 higher on Friday in a broad-based rally on both sides of the Tasman as oil prices subsided from recent highs after Statistics New Zealand figures for new house consents weren’t as soft as some had feared.

Dual-listed ANZ Group Holdings declined despite beating earnings expectations, with investors unnerved by the lender’s credit provisioning in the uncertain environment, while SkyCity Entertainment Group dropped as it trimmed its earnings outlook.

And US tech manufacturer Bourns declared its takeover of Rakon unconditional after crossing the 90% threshold needed to mop-up any holdout shareholders.