THE MARKET Firm again and active

Press, 23 July 1986, Page 37

THE MARKET Firm again and active

Barclays’ index of industrial shares rose again yesterday, putting on 17.06 points to close at 273155 only a few points off its all-time high set just a fortnight ago. Rises outnumbered falls about three to two, and turnover was a staggering 15.5 million shares worth $44.3 million — an average of 286 c. The average was boosted by the sale of almost 4.7 million Fletcher shares (4.6 million in one parcel). The shares sold up to 420 c but closed unchanged at 415 c. More than 1.5 million shares in Farmers Trading Company went to Jarden and Company for an unnamed client, after standing in the market for 15 million shares, or 10 per cent, of the retailer. The offer price was 210 c a share, compared

with sales at 195 on Monday. One broker said an Auckland firm was also buying the shares at 211 c, up 16c on the day. Apart from these major sales, in FTC and Fletcher Challenge, the market was driven mainly by private investors; major institutions and the “big boys” had been involved in only a small way for some time, and are probably holding back until after the Budget was released. “The’re Just a little bit cautious,” one broker said. The market was again fuelled by the partial bld for FTC, which unexpectedly picked up the index, said Mr Derek Howarth, market operator for the Christchurch sharebroking firm of Lawrence Milton and Howarth. Fletchers were in de-

mand. There is some big buying, Mr Howarth said, and there are again plenty of rumours of a take-over bid next week. “With the exception of Brierley Investments everything is looking good.” The bulk of price changes was small. Among the market leaders Dominion Breweries had the biggest rise, 20c to 530, shared with L. D. Nathan, which also gained 20c, to 605 and its associate Mace, 20c to 1150, repeating the pattern of Monday. The two investment companies, Chase and Apex, rose 15c each, to 600 and 415. Chase shares are catching up with gains made in Australia. CPD, Saudicorp, Renouf Corp, and Repco put on 5c each, Waitakl rose 3c to 135, and NZ Forest Products, at 236, and

Capital Markets, at 373, firmed 1c each, Fisher and Paykel, which promised at the annual meeting that it would double its Interim profit, rose 2c to 372 after its 15c jump on Monday. Few market leaders showed up among the falls. Rainbow, at 675, Robert Jones, at 560, and Euronational at 665, lost 5c each. Equitcorp chalked up a 2c drop to 530, BNZ Finance also lost 2c, to 365, Progressive Enterprises the same amount to 450. Cromwell rose 50c for the second day in a row; the company is to be the wholly-owned subsidiary of Wellesley Resources, a new company soon to be listed. The scrip is tightly field. Other second-line stocks to show good gains were Cashmere

, Pacific, which continued its recent run with a 12c , gain to 165, Moyes and t Groves, up 15c to 240, £ Ownes and Motor Hoidi Ings, 10c each to 250 and I 190 respectively. i Arnold and Wright, which is the subject of a i take-over bid by Tag’s > offshoot Electrocorp , Holdings, rose 320 c to I 800. One broker said a t recent analysis of Arnold and Wright had revealed i the stock was undervalued at 700 c. i On the downside, lEP ■ continued to lose ground, down 20c to 1000. Auckland Gas gave up 12c to 1 248, and falls of lOcv ; each were posted by NZ i Salmon, NZ News, Tag, Questar, Williams Proi parties, and Hallensteins. Bridgevale Mining rei acted to the “don’t sell” warning with a rise of 7c to 21c. I ' Sharetabie — page 40