FX.co ★ New Zealand Stocks End Lower

On Tuesday, New Zealand's primary S&P/NZX 50 index experienced a slight decline, closing 0.1% lower at 13,574. This drop followed a tumultuous trading session that briefly saw the index hit a three-week low. The downward movement can be attributed to growing global investor caution triggered by U.S. tariff threats impacting Europe. Investors are now shifting their focus to the upcoming domestic Q4 inflation report, anticipated later this week. With projections suggesting the annual rate will sustain its highest level in a year, this could strengthen arguments for potential policy tightening by the Reserve Bank of New Zealand. Most major stocks finished in negative territory, primarily driven by losses in the financial sector, where Westpac Banking and AZN Group Holdings fell by 0.8% and 1.2%, respectively. Other notable decliners included Infratil Limited (-1.2%), Fonterra (-0.5%), Contact Energy (-0.5%), A2 Milk (-1%), and Mainfreight (-0.4%). Conversely, some gains were observed with Meridian Energy rising by 1.8%, Auckland International Airport gaining 1.2%, and Mercury NZ advancing by 0.8%.