Vaccine hopes prompt rotation into hardest hit covid stocks

The S&P/NZX 50 Index rose 50.19 points, or less than half a percent, as money was shifted away from the few pandemic success stories and into the wider market. Within the index, 36 stocks rose, 11 fell and three were unchanged. Turnover was much higher than usual at $326.1 million.

Investors’ focus shifted towards companies set to benefit as the vaccine clears a path to return to normal, said head of private wealth research at Craigs Investment Partners, Mark Lister. 

“What we are seeing today is a lot of professional investors sell their Fisher & Paykel and buy Vista or Kathmandu,” he said. “It’s a rotation away from 2020’s winners to where there might be some bargains to be had.”

Fisher & Paykel Healthcare dropped 12.2 percent to $32.43 and Pushpay Holdings fell 5.8 percent to $8, together freeing up almost $45 million to be invested elsewhere.