(RTTNews) - New Zealand’s share market opened higher on Friday, taking cues from Wall Street’s strong finish overnight. U.S. stocks surged overnight on word that steps were afoot to bolster banks carrying bad debt.

The benchmark NZX 50 index was up 48.11 points or 1.52% to 3,207.03 shortly after the market opened for the day. Meanwhile the NZX All Capital Index rose 32.99 points or 1.04% to 3,221.08.

New Zealand stocks slumped on Thursday, recording the biggest one-day fall in nearly six years. The benchmark NZX index fell 111.0 points or 3.5% to close at 3,158.9 after rising 1.3% on Wednesday. The broader NZX All Capital index shed 113.6 points or 3.6% to finish the session at 3,188.1.

Overseas, the U.S. stocks staged a late day rally on Thursday, sending the Dow up by more than 400 points. A report that the government may create a repository for bank’s bad debt prompted investors to take back nearly all of the losses posted in the previous session, when the Dow closed down more than 450 points.

Crude oil closed modestly higher Thursday on the New York Mercantile Exchange, but backed off its daily highs above $102 per barrel. Light sweet crude for October delivery moved to $97.47, up 31 cents on the session. Earlier, crude hit as high as $102.24.

On the currency front, the New Zealand dollar strengthened against the greenback overnight, and was buying at US67.49c by 8am Friday, compared to US66.46c at 5pm Thursday.

On Friday’s economic data calendar, Statistics NZ releases its current account balance data for the second quarter and its data on visitor arrivals for August at 22:45 GMT. Finally at 03:00 GMT, data is set for release on credit card spending for August.

In the early trading on the New Zealand stock market on Friday, the country’s top ranked share Telecom gained 2.56%, while the second ranked Contact Energy added 0.81%. Fletcher Building, the third best stock, surged 2.16%.

In the retail sector Hallenstein Glasson remained unchanged, while Pumpkin Patch jumped up by 4.38%. Warehouse added 2.61%, as jewelry retailer Michael Hill International remained unchanged.

In the energy sector Vector collected 1.42%, while TrustPower gained 1.25% in the day’s early trading.

Among other notable stocks-Nuplex inched up 0.97%, Infratil added 1.42%, Mainfreight collected 1.35% and Methven surged 3.45%. Sky City added 1.13%, while Sky Network Television collected 0.45%. Fisher & Paykel Appliances gained 3.53%, as Fisher & Paykel Healthcare climbed 2.27%. Steel & Tube Holdings remained unchanged.

Among the dual listed issues AMP, APN News & Media, Lion Nathan and Telstra remained unchanged. Australia and NZ Banking Corp surged 8.03% and Westpac Bank jumped 4.65% on favorable news in the banking sector.

Gainers outnumbered the losers by a large margin in Friday’s early trading. The major gainers included- Air New Zealand by 1.90%, AMP NZ Office Trust by 1.87%, Guinness Peat Group by 3.33%, ING Property Trust by 1.47%, New Zealand Oil & Gas by 5.84%, Property For Industry by 1.80%, PGG Wrightson by 7.50%, Pike River Coal by 4.17%, Rakon by 6.17%, Ryman Healthcare by 3.75% and Tower by 4.40%.

Decliners were few in the day’s early trading, and included- Goodman Property Trust by 0.84%, ING Medical Properties Trust by 0.89% and New Zealand Refining Company by 1.54%.

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Posted in Categories: Australia, New Zealand, Releases, Stocks, USA.

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