Fisher and Paykel Healthcare surged to a 27-month high, leading the New Zealand sharemarket to a 1% gain following a strong rally on Wall Street. The S&P/NZX 50 Index closed at 11,916.24, up 111.15 points or 0.94%, with 84 gainers and 56 decliners on the main board.
Market leader Fisher and Paykel Healthcare saw a significant increase of 59c or 2.15% to $27.99, with trading worth $34.35 million. This surge was driven by a strong quarterly result from competitor ResMed, which reported a 29% gain in net profit and a 7% increase in revenue. ResMed’s stock also rose on the Australian exchange.
Investment adviser Jeremy Sullivan noted that Fisher and Paykel Healthcare benefits from a weaker NZ dollar as it exports 95% of its products. The local market experienced a positive day following strong rallies in the US market, with Alphabet’s stock rising significantly.
Investors will be closely monitoring the Reserve Bank’s financial stability report, as well as the latest business confidence survey and labor market data. ANZ Research predicts a slight increase in unemployment rates, while ASB Bank expects a rise to 4.3%.
Other companies contributing to the market gain included Ebos Group, Infratil, and Spark. Auckland International Airport is considering an offer of fixed-rate bonds, while the property sector saw gains across various companies. In the energy sector, Contact gained while Mercury declined.
Overall, the New Zealand sharemarket experienced a positive day driven by strong performances in key sectors and positive developments in global markets.