The NZX 50 fell 86 points, or 0.6%, to 14,174 on Friday, as investors locked in profits after the benchmark reached a record high the previous day on the back of strong earnings from heavyweight stocks. Rising oil prices weighed on the market, stoking inflation concerns and reinforcing expectations of further interest rate hikes.
Sentiment was further dampened by fresh data showing that growth in New Zealand’s manufacturing sector slowed in October, amid higher fuel costs, increased living expenses, and uncertainty surrounding the upcoming election. Caution also grew ahead of a raft of key releases from China—including industrial output figures—as well as next week’s interest rate decision, the release of FOMC minutes, and New Zealand’s own trade data.
Nearly all sectors finished in negative territory, led by utilities. Among the notable decliners were AFT Pharmaceuticals (-3.2%), Fletcher Building (-2.4%), Meridian Energy (-2.1%), Delegat Group (-1.4%), and Contact Energy (-1.2%). Despite Friday’s pullback, the index rose 1.3% over the week, marking its third consecutive weekly advance.