17.06.202623:05:46UTC+00NZX 50 Falls, Tracking Wall Street Lower

The NZX 50 fell 30 points, or 0.2%, to 13,363 in Thursday morning trade, extending the previous session’s losses and mirroring an overnight decline on Wall Street after the Federal Reserve left interest rates unchanged but signaled potential hikes later this year. Sentiment was further pressured by Wednesday’s data, which showed New Zealand consumer confidence dropping in Q2 to its lowest level since 2023 and the Q1 current account deficit widening compared with a year earlier.

Still, the pullback was partly contained by stronger growth figures: New Zealand’s GDP expanded 0.8% qoq in Q1, while annual growth was unchanged at 1.5%. Reports that the US and Iran are planning to sign an agreement to end the war also helped limit losses, as the resulting decline in oil prices eased worries about inflationary pressures.

Energy, materials, and industrial stocks were the main drags on the index, with notable declines in Contact Energy (-1.2%), Freightways Group (-0.8%), AFT Pharmaceuticals (-0.7%), and Auckland International Airport (-0.5%).