NZ sharemarket closes up more than 1% as heavyweight stocks rally
'I suppose after the initial concern around those letters that were sent on the weekend, the market has gained some poise and become a bit more relaxed about the situation overall.'
Fisher & Paykel Healthcare rose 76c to $36.75 after 333,220 shares changed hands to the value of $12,182,093.91.
Infratil also had a positive day, with its share price rising to $11.38, with $11,103,102.81 worth of shares changing hands.
Elsewhere, Auckland Airport said the Ministry for Business, Innovation and Employment (MBIE) had provided an update to those who made submissions on its recent request for viewpoints on the effectiveness of the economic regulation of airport services.
In its findings, MBIE advised that at this time, it is not considering legislative change.
'A bit of relief around the fact that regulatory oversight is now a non-issue, and it was now off the table,' Smith said.
Auckland Airport shares subsequently rallied 4.36% to $7.78, with 1,363,985 shares changing hands to the value of $10,580,401.99.
Meanwhile, a2 Milk's share price also climbed, rising 4.81% to $8.28 after $4,056,430.72 worth of shares were traded.
'The Chinese infant milk market is shrinking, but the reality is a2 has been taking market share, and I suppose there's some optimism that the result in mid-August will be a good one,' Smith said.
Wall Street stocks finished higher on Wednesday local time, shrugging off a mid-session swoon after US President Donald Trump denied he was planning to fire Federal Reserve chairman Jerome Powell.
Major indices had moved suddenly negative after reports that a dismissal could be imminent. They recovered quickly when Trump ruled out firing Powell, for now.
Trump, who has bitterly attacked the Fed chairman for months, said such a move was 'highly unlikely' and that 'I'm not talking about that' when asked if he would fire Powell.
The tech-rich Nasdaq Composite index advanced 0.3% to 20,730.49, a third straight closing record.
The Dow Jones Industrial Average gained 0.5% to 44,254.78, while the broad-based S&P 500 advanced 0.3% to 6,263.70.
'It's very clear that the market wants to go higher,' said Adam Sarhan of 50 Park Investments, who described investor reaction to Trump's mixed messaging on Powell as typical of a bullish tilt.
'Every time we get bad news thrown at it, the market shrugs it off and continues to rally, including today,' Sarhan said.
– Additional reporting AFP
Tom Raynel is a multimedia business journalist for the Herald, covering small business, retail and tourism.
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NZ Herald
5 hours ago
- NZ Herald
Round three - United States and China hold economic talks as trade truce nears end
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NZ Herald
5 hours ago
- NZ Herald
Economies race to avoid steeper tariffs before Friday, US and China hold talks tomorrow in Sweden
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India: Cautious optimism Indian Commerce Minister Piyush Goyal told Bloomberg Television last week that he was optimistic his country could reach an agreement with the US to avert Washington's 26% tariff threat. Goyal insisted there were not any sticking points in the US-India relationship or in trade talks and clarified that immigration rules - including those around H-1B visas for skilled workers - had not come up in negotiations. Despite Goyal's remarks, local media reported the prospects of an interim deal before August 1 had dimmed. Taiwan: Working hard Taiwanese Premier Cho Jung Tai said last week that officials are 'working hard' on negotiations, amid worries that an unfavourable tariff level could hit the self-ruled island's economy. Vice-President Hsiao Bi Khim said Taipei's negotiating team was 'working almost 24 hours a day to achieve trade balance and Taiwan's industrial interests, and even to further deepen co-operation'. 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Trump has not attempted to hide the political motivation in targeting Brazil, citing a judicial 'witch hunt' against his right-wing ally, former president Jair Bolsonaro, when he unveiled the tariff rate. The political nature of the spat makes a last-minute deal appear less likely. Tariff categories Here is a summary of duties Trump has introduced in his second term. Global tariffs US 'reciprocal' tariffs - imposed under legally contentious emergency powers - are due to jump from 10% to various steeper levels for a list of dozens of economies. The hikes were to take effect on July 9 but Trump postponed them days before imposition, marking a second delay since their shock unveiling in April. A 10% 'baseline' levy on most partners, which Trump imposed in April, remains in place. Certain products like pharmaceuticals, semiconductors and lumber are excluded from Trump's 'reciprocal' tariffs but may face separate action under different authorities. This has been the case for steel, aluminium, and soon copper. Gold and silver, alongside energy commodities, are also exempted. Canada, Mexico Canadian and Mexican products were hit by 25% US tariffs shortly after Trump returned to office, with a lower rate for Canadian energy. Trump targeted both neighbours over illegal immigration and fentanyl trafficking, also invoking emergency powers. Products entering the United States under the USMCA North American free trade pact, covering large swathes of goods, are expected to remain exempt - with Canadian energy resources and potash, used as fertiliser, to still face lower rates. China focus Trump has also taken special aim at China. The world's two biggest economies engaged in an escalating tariffs war this year before their temporary pullback. The countries imposed triple-digit duties on each other at one point, a level described as a trade embargo. After high level talks, Washington lowered its levies on Chinese goods to 30% and Beijing slashed its own to 10%. This pause is set to expire on August 12, and officials will meet for further talks tomorrow in the Swedish capital of Stockholm. The US level is higher as it includes a 20% tariff over China's alleged role in the global fentanyl trade. Beyond expansive tariffs on Chinese products, Trump ordered the closure of a duty-free exemption for low-value parcels from the country. This adds to the cost of importing items like clothing and small electronics. Autos, metals Trump has targeted individual business sectors too, under more conventional national security grounds, imposing a 25% levy on steel and aluminium imports which he later doubled to 50%. The US President has unveiled plans for a 50% tariff on copper imports starting August 1 as well and rolled out a 25% tariff on imported autos, although those entering under the USMCA can qualify for a lower rate. Trump's auto tariffs impact vehicle parts too, but new rules ensure automakers paying vehicle tariffs will not also be charged for certain other duties. He has ongoing investigations into imports of lumber, semiconductors, pharmaceuticals and critical minerals that could trigger further duties. Legal challenges Several legal challenges have been filed against the tariffs Trump invoked citing emergencies. The US Court of International Trade ruled in May that the President had overstepped his authority, but a federal appeals court has allowed the duties to remain while it considers the case. If these tariffs are ultimately ruled illegal, companies could possibly seek reimbursements. -Agence France-Presse
NZ Herald
6 hours ago
- NZ Herald
Thailand and Cambodia truce talks due but strikes continue
'They need to demonstrate genuine intent, and we will assess that during the meeting.' Cambodia's defence ministry spokeswoman Maly Socheata said today was 'the fifth day that Thailand has invaded Cambodia's territory with heavy weapons and with the deployment of a lot of troops'. In Thailand's Surin city – 30km from the border and a hub of evacuees fleeing the fighting – 58-year-old Lamduan Chuenjit shared her leader's scepticism. 'I hope the negotiation goes well today and ends with a ceasefire,' the cleaner told AFP while sweeping a shopfront. 'But I do wonder how trustworthy Cambodia is.' On the eve of the talks, Thailand's military said Cambodian snipers were camping in one of the contested temples, and accused Phnom Penh of surging troops along the border and hammering Thai territory with rockets. It said fighting was ongoing at seven areas along the rural border region, marked by a ridge of hills surrounded by wild jungle and agricultural land where locals farm rubber and rice. 'The situation remains highly tense, and it is anticipated that Cambodia may be preparing for a major military operation prior to entering negotiations,' the Thai military statement read. On Saturday, Trump said he made a late-night call to both leaders, who agreed to 'quickly work out' a truce. Cambodian Prime Minister Hun Manet said the summit, which will be mediated by Malaysian leader Anwar Ibrahim, was also organised 'with the participation of China' – a key trade and political ally. 'The purpose of this meeting is to achieve an immediate ceasefire, which was initiated by President Donald Trump and agreed to by both Prime Ministers of Cambodia and Thailand,' Hun Manet said. US Secretary of State Marco Rubio said US officials 'are on the ground in Malaysia to assist these peace efforts', while Anwar told domestic media he would focus on securing an 'immediate ceasefire'. Both sides point the finger Thai King Maha Vajiralongkorn marked his 73rd birthday today, but a notice in the country's Royal Gazette said his public celebrations scheduled for Bangkok's Grand Palace have been cancelled amid the strife. Trump has threatened both countries with eye-watering levies in his global tariff blitz unless they agree to independent trade deals – saying he would 'look forward' to signing them once 'peace is at hand'. Both sides have agreed to a truce in principle, while accusing the other of undermining peace efforts and trading allegations about the use of cluster bombs and targeting of hospitals. Thailand says eight of its soldiers and 14 civilians have been killed, while Cambodia has confirmed eight civilian and five military deaths. The Thai military said it has returned the bodies of 12 Cambodian soldiers killed in combat. More than 138,000 people have fled Thailand's border regions, while about 80,000 have been driven from their homes in Cambodia. With the skirmish inflaming nationalist sentiments, Thailand warned its citizens to 'refrain from any kind of violence, whether in speech or action' against Cambodian migrants living in the country. – Agence France-Presse
