(RTTNews) - The New Zealand stock market opened modestly weaker on Friday, following more losses overnight on Wall Street where U.S. stocks moved lower on continued economic concerns.

The benchmark NZX 50 index was down 10.31 points or 0.39% to 2,606.61 shortly after the market opened for the day, while the broader NZX All Capital Index fell 5.85 points or 0.22% to 2,626.76.

The New Zealand market finished lower on Thursday as a steady stream of weak profit reports weighed on investor sentiment. However, the market finished off the day’s lows following a firm trend in Australia and Japan.

The benchmark NZX-50 index closed at 2,616.93, down 4.08 points or 0.16%. Turnover was worth $94.68 million and decliners outnumbered advancers by 52 to 28.

Overseas, U.S. stocks showed a notable move to the downside in late day trading on Thursday after showing a lack of direction for much of the trading session. The major averages all moved firmly into negative territory, with the Dow ending the session at its worst closing level since October of 2002.

The choppy trading seen for much of the session came as traders digested another slew of economic news along with some mixed corporate news.

On the economic front, the Philadelphia Federal Reserve said its index of activity in the manufacturing sector fell to a negative 41.3 in February, its lowest reading since October of 1990. Economists expected the index to edge down to a negative 25.0.

Separately, a report from the Labor Department showed that initial jobless claims for the week ended February 14th came in at 627,000, unchanged from the revised figure for the previous week and moderately higher than the 620,000 that was expected by analysts.

The major U.S. averages staged a failed recovery attempt going into the close, ending the session sharply lower. The Dow closed down 89.68 points or 1.2 percent at 7,465.95, the Nasdaq closed down 25.15 points or 1.7 percent at 1,442.82 and the S&P 500 closed down 9.48 points or 1.2 percent at 778.94.

Crude oil surged on Thursday after the Energy Information Administration announced an unexpected drop in crude oil inventories. Oil finished at its highest level in almost two weeks.

Light sweet crude rallied to $39.15 per barrel, up $4.53 for the session. Oil reached as high as $39.85, threatening to break $40 for the first time since Feb. 10.

The EIA data revealed U.S. commercial crude oil inventories decreased 138,000 barrels in the week ended Feb. 13. Experts were looking for an increase of about 3 million barrels.

On the currency front, the New Zealand dollar was buying US51.32c at 8am on Friday, compared to US51.20c at 5pm on Thursday. Overnight, the kiwi had touched US51.88c before slipping to US51.05c and then recovering a little.

In the early trading on the New Zealand stock market on Friday, top ranked share Telecom dropped 1.60%, as second ranked Contact Energy remained unchanged and Fletcher Building, the third best stock, collected 0.19%.

In the retail sector Hallenstein Glasson, jewelry retailer Michael Hill International, Pumpkin Patch and Warehouse remained unchanged in the day’s early trading.

In the energy sector Vector collected 0.43%, as TrustPower remained unchanged in the early trading on Friday.

Among the dual listed issues, AMP slumped 2.33%, as APN News & Media, Lion Nathan, Telstra and Westpac Bank remained unchanged.

Among other notable stocks, Mainfreight, Methven, Nuplex, Steel & Tube Holdings, Sky Network Television and Sky City remained unchanged, as Infratil declined 1.16%. Fisher & Paykel Healthcare gave up 0.30%, as debt-ridden Fisher & Paykel Appliances fell 3.23%.

The gainers in the early trading on Friday included Goodman Property Trust by 1.67%, Pike River Coal Limited by 1.11% and Rakon Limited by 2.74%.

The major losers included Auckland International Airport by 0.53%, Cavalier by 2.29%, Freightways by 0.68%, Guinness Peat Group by 2.67%, Kiwi Income Property Trust by 1.00%, New Zealand Oil & Gas by 1.54%, NZ Farming Systems by 8.93%, NZX Limited by 0.88% and PGG Wrightson by 2.44%.

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

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