The NZX 50 fell 61 points, or 0.5%, to close at 12,885 on Thursday, touching its lowest level since April 1 and reversing morning strength, while erasing gains from the previous three sessions as traders worried about delays in economic recovery. Finance Minister Nicola Willis said on Thursday that the economy has been delayed but not derailed, as the Iran war lifted fuel costs and dented business and consumer sentiment.
Wednesday’s decision by Moody’s Ratings to downgrade New Zealand’s outlook to negative from stable also pressured sentiment. The downgrade came after Fitch Ratings lowered the country’s outlook to negative from stable in March. Healthcare, materials, consumer discretionary, and financials mainly weighed on the index. Among the bottom performers were Fisher & Paykel Healthcare (-3.0%), Colonial Motor Company (-2.3%), Ebos Group (-1.4%), ANZ Group (-0.9%), F&C Investment Trust (-0.8%), A2 Milk (-0.8%), Chorus (-0.6%), and Mainfreight (-0.5%).
