THE MARKET Modest recovery at close

Press, 30 July 1986, Page 41

THE MARKET Modest recovery at close

Rises by some Austra-lian-listed stocks in afternoon trading helped Barclays’ index of industrial shares swing around and recover 20.89 points yesterday. A 5c rise by Brierley Investments to 550, a 7c gain by Fletcher Challenge to 415, and a 10c jump by Capital Markets to 352 were behind the modest rebound. The turnaround came mainly in the afternoon session, as trading began the day on an easier note, and over all the market was quite patchy. The range of Issues traded was very wide, and almost all changed price; however, there were three falls for every two rises. Some brokers said that investor sentiment is

nervous ahead of the Budget, but others denied that the Budget had any influence. Once again they pointed out that the market Is Brierley-led, its share movements contributing 22 per cent to any change in the Barclays index. Turnover was higher than on Monday — a bearish sign — 11.4 million shares changing hands for $22.6 million, an average of 199 c a share. Sales were boosted by the crossings of large parcels of NZI shares, totalling more than 2 million shares; NZI fell 14c to 186 c. “The market closed on a slightly firmer note, with the Barclays index up 20.89 points to finish at 2706.05,” said Mr Ken Stevens, market operator

with the Christchurch sharebroking firm Harkness and Company. “Locally, rises were generally among bluechip stocks,” he said, with some second-liners posting strong gains. “The strength of the New Zealand dollar probably had some effect on the modest recovery In the price level. “It would appear that there will be no stock news in Thursday’s Budget to upset the market,” Mr Stevens said. Five investment company shares continued to retreat: Chase lost another 5c to 590, Apex also 5c to 395, Euronational likewise to 645, Equiticorp down 3c to 525, while Rainbow eclipsed them all with a 20c fall to 600.

The two Brierley offshoots were among the losers, with Tozer KM down 15c to 430 and lEP 10c to 990.

Farmers Trading rose another cent to 213, 23c more than Chase’s cash offer, but sales remain low in relation to the amount sought Fisher and Paykel suffered most at sellers’ hands and gave up another 25c to close at 355, after losing 22c on Monday. Other double-figure losses were Ceramco, 20c to 770, Pacer Pacific, a further 10c to 745, 10c falls by Rothmans to 550, Robert Jones to 530, Smart Group to 380, Goodfield to 390, and Wilson and Horton to 660. NZ Forest Products was down 4c to 240 c. Lion at 585 and L. D.

Nathan at 640 dropped 5c each. NZ Marine Farms recovered 5c to close at 270, and Trans Ashburton continued its heady run with a gain of 5c to 565.

Elsewhere, Aucklandbased property developer Argus Corp’s shares (50c par) finished their first day on the Stock Exchange at 340, the top of a 15c range, for its debut

Another recently-listed property company, Richmond, gained 18c to 300, while 15c rises were recorded by Bendon to 415 and McKechnie to 200. Saudicorp advanced 10c to 420, and Commercial Securities put on 10c to 160.

Sharetable, page 42