(RTTNews) - New Zealand Share Market Opened higher on Tuesday, taking cues from the Wall Street where U.S. stocks advanced overnight on positive comments from Federal Reserve Chairman Ben Bernanke and the White House on a second economic stimulus package.

The benchmark NZX 50 index was up 61.06 points or 2.11% to 2,950.98 shortly after the market opened for the day, while the broader NZX All Capital Index gained 54.72 points or 1.86% to 2,994.85.

The New Zealand stock market closed sharply higher on Monday ahead of an expected large interest rate cut by the Reserve Bank of New Zealand this week. The central bank is expected to cut the official cash rate by as much as 100 basis points to 6.5% on Thursday, according to economists.

The market opened sharply higher on Monday and extended its gains for the second consecutive trading session. The benchmark NZX 50 index closed up 81.16 points, or 2.89%, at 2,889.92.

Overseas, the U.S. stocks showed a strong upward move over the course of the trading session on Monday, with the major averages all moving firmly into positive territory after seeing some volatility earlier in the session.

The gradual increase took the major U.S. averages further off the lows set earlier this month. Comments from Federal Reserve Chairman Ben Bernanke and the White House in support of a second economic stimulus package also helped to push the markets higher.

Oil closed a choppy session significantly higher on the New York Mercantile Exchange on Monday after earlier topping $76 a barrel amid expectations that the Organization of Petroleum Exporting Countries will cut production at an extraordinary meeting on Friday in Vienna.

Light sweet crude for November delivery ended at $74.25, up $2.40 for the session. Crude gave back early gains and briefly moved into the red in the late morning. But prices surged in the afternoon again and briefly topped $76.

On the currency front, the New Zealand dollar surged against its U.S. counterpart on Tuesday morning and was buying US62.44c by 8 am, after rising from US61.20c shortly after midnight to hit a high of US62.60c.

In Tuesday’s economic news, Statistics New Zealand releases its consumer prices data by 17.45 pm ET. It is expected to show the consumer price index rising at an annual rate of about 5 percent, the highest since 1990.

In the early trading on the New Zealand stock market on Tuesday, the country’s top ranked share Telecom collected 2.80%, while the second ranked Contact Energy added 2.05%. Fletcher Building, the third best stock, surged 3.86%.

In the retail sector Hallenstein Glasson and jewelry retailer Michael Hill International remained unchanged. The Warehouse gained 1.03%, as Pumpkin Patch advanced 0.90%.

In the energy sector Vector climbed 0.99%, while TrustPower remained unchanged in the day’s early trading.

Among the dual listed issues AMP jumped 4.29%, as Australia and NZ Banking Corp surged 3. 98%. APN News & Media, Lion Nathan and Telstra remained unchanged, while Westpac Bank added 2.48%.

Among other notable stocks, Nuplex advanced 3.92%, as Infratil inched up by 0.49%. Methven remained unchanged, as Mainfreight collected 3.00%. Steel & Tube Holdings remained unchanged, as Sky Network Television added 2.56%. Sky City was up 2.41%. Fisher & Paykel Appliances surged 3.79%, while Fisher & Paykel Healthcare gained 1.59%.

Among the major gainers in the early trading were - Auckland International Airport by 2.19%, Air New Zealand by 1.19%, Goodman Property Trust by 2.73%, Guinness Peat Group by 4.04%, ING Property Trust by 4.76%, New Zealand Oil & Gas by 9.26%, Port of Tauranga by 3.12%, Pike River Coal by 4.20%, Rakon by 6.86%, Ryman Healthcare by 3.87%, Sanford by 3.51% and Tower by 2.96%.

There were only two losers among the stocks listed under the NZX 50 index in the trading on Tuesday morning. Cavalier Corporation was down 0.40%, while PGG Wrightson declined by 0.54%.

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

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