Market Announcements
Market Summary
The New Zealand sharemarket closed down on Wednesday after a quiet day, as new data on unemployment likely locked in another rate cut by the end of the month. The S&P/NZX 50 Index closed down 0.11% or 15.025 points to 13,620.98 after 55.8 million shares worth $163.9 million were traded. The S&P/NZX 20 index was down 0.05%, closing at 7787.87 points, while the S&P/NZX 10 index ended the day at 12,986.96 after rising 0.06%. There were 57 gainers on the main board and 87 decliners.
The unemployment rate hit 5.3% in the September 2025 quarter, according to figures released by Stats NZ on Wednesday. That is the highest rate since December 2016.
On the main board, SkyCity Entertainment Group traded in high volume, with 8.4 million shares changing hands on turnover worth $6.2m, with its share price lifting 0.68% to $0.74. On Tuesday, Fletcher Building handed over the long-awaited landmark New Zealand International Convention Centre to SkyCity.
Gentailers Meridian Energy, Contact Energy and Mercury Energy all had their share prices fall. Meridian was down 2.65% or 16c to $5.87, Contact was down 0.31% or 3c to $9.50, and Mercury was down 0.15% or 1c to $6.58. Elsewhere, Air New Zealand's share price rose 1.67% or 1c to 61c after 5.8 million shares changed hands on turnover worth $3.5m.
Infratil also rose late in the session, up 0.81% or 10c to $12.40.
Tech companies led a sharp sell-off across Asia on Wednesday as investors grow increasingly worried about an AI bubble after a rally this year in which valuations hit record highs. Global markets have soared this year as an eye-watering flood of cash piled into companies linked to artificial intelligence, including United States titans Nvidia, Amazon and Apple, as well as Asian firms Samsung and Alibaba. But despite strong earnings releases in recent quarters, traders have started questioning the wisdom of chasing ever-higher prices, with cash mostly funnelled into a handful of big-name companies. The gains have also been helped by an easing of US trade tensions and expectations that the Federal Reserve will continue to cut interest rates into the new year. But last week’s warning from the US central bank that another reduction in December was not a foregone conclusion jolted sentiment.
Source: Business Desk
Australian Market Report
Ahead of the local open SPI futures were 69 points higher at 8853.
- close [Morningstar with AAP]: A late bounce has failed to take Australia's share market higher as economic concerns, weaker commodity prices and valuation worries weigh on sentiment.
The S&P/ASX200 fell 11.7 points on Wednesday, down 0.13 per cent to 8,802 as the All Ordinaries fell 27 points, or 0.3 per cent, to 9,071.2.
The top-200 had tumbled almost 80 points to six-week lows, but buyers stepped in to stem the losses in the afternoon.
A barrage of factors were behind the downswing, which echoed at higher magnitudes in indices from Wall Street to Japan's Nikkei and South Korea's KOSPI index, IG Markets analyst Tony Sycamore said.
"It's been a perfect storm, a series of catalysts," Mr Sycamore told AAP.
Local economic concerns, uncertainty about future US rate cuts, equities' unrelenting rally since April's Liberation Day tariff announcements and worries about US tech valuations had all played parts in finally breaking the wave of buying.
"A lot of things have hit the market this week, but just at this point of time there's a little bit of a rebound creeping in," Mr Sycamore said.
Five of 11 local sectors ended the day higher but sell-offs in raw materials (-1.1 per cent), IT (-2.7 per cent) and real estate (-1.2 per cent) outweighed modest gains in financials, communications and utilities.
Large-cap miners were heavy as iron ore futures consolidated around $US104 a tonne, slipping amid concerns China's Simandou iron ore mine in Guinea could disrupt global supply.
Gold stocks were broadly lower despite an afternoon bounce in the precious metal's price. Spot gold is trading hands at $US3,968 ($A6,110) an ounce.
Rare earths and critical minerals producers continued to tumble from their 2025 run-ups with Lynas, Iluka and Pilbara Minerals each handing back more than 3.3 per cent.
Commonwealth Bank and NAB forged an upward path for financials (+0.6 per cent) as ANZ ended flat and Westpac eased from recent strength.
NAB and investment giant Macquarie will hand down financial results for the recent half on Thursday.
Energy stocks edged lower on Wednesday despite a benign uptick in oil prices as investors took profits on uranium stocks.
Paladin Energy (-8.9 per cent) was the second-worst performer of the top-200, behind Megaport (-9.7 per cent), as many of 2025's momentum plays encountered significant gravity.
Military tech company Droneshield tanked 7.5 per cent after announcing it had vested $44 million in performance options to employees.
The story was similar for IT stocks as Life360, NextDC and Codan all tumbled more than four per cent.
Cryptocurrency Bitcoin is teetering on the edge of a bear market, dipping more than 20 per cent from October's all-time high above $US126,000 ($A194,193).
"Bitcoin's plunge below the $US100,000 mark isn't just a price dip, it's a signal that the market may be entering a new phase," BTC Markets crypto analyst Rachael Lucas said.
The Australian dollar is buying 64.90 US cents, down from 65.28 US cents on Tuesday afternoon, as safe-haven buying bolstered the greenback.
Looking ahead, Seven West Media will hold its annual meeting on Thursday, followed by Qantas and Nine on Friday.
ON THE ASX:
The S&P/ASX200 dropped 11.7 points, or 0.13 per cent, to 8,802
The broader All Ordinaries fell 27 points, or 0.3 per cent, to 9,071.2
The NZX 50 Lost -12.77 points (-0.09%) to 13608.21
Companies Holding Annual General Meeting (ASX 300):
Amplitude Energy Limited
Breville Group Limited
NIB Holdings Limited
Vicinity Centres
Zip Co Limited
Companies commencing Ex-Dividend Trading Today (ASX 300):
Cobram Estate Olives Limited
Westpac Banking Corporation
Overseas Market Report
[Morningstar with Dow Jones]:
U.S. stocks ended higher. The DJIA lifted 0.5% to 47,311.00, the S&P 500 rose 0.4% to 6,796.29 and the Nasdaq lifted 0.6% to 23,499.80.
Among S&P 500 companies, the top three gainers were Solstice Advanced Materials Inc SOLS surging 10.61%, Seagate Technology Holdings PLC STX jumped 10.17%, and Micron Technology Inc MU lifted 8.94%.
The biggest decliners were Zimmer Biomet Holdings Inc ZBH which dropped 15.22%, Super Micro Computer Inc SMCI fell 11.23%, and Live Nation Entertainment Inc LYV lost 10.59%.
Asia
Chinese shares closed higher. The benchmark Shanghai Composite Index added 0.2% to 3,969.25 and the Shenzhen Composite Index climbed 0.4% to 2,497.89.
Hong Kong shares ended lower. The benchmark Hang Seng Index dropped 0.1% to 25,935.41.
Japanese shares ended lower. The Nikkei Stock Average fell 2.5% to 50,212.27.
India shares ended lower. The BSE SENSEX dropped 0.6% to 83,459.15.
Europe
Stocks in the U.K. finished higher. The FTSE 100 Index gained 0.6% to 9,777.08. In Europe, shares closed higher. The Germany's DAX added 0.4% to 24,049.74, and the France's CAC 40 climbed 0.1% to 8,074.23
