THE MARKET Brierleys pushes index back up

Press, 2 September 1986, Page 30

THE MARKET Brierleys pushes index back up

The New Zealand sharemarket was a little firmer yesterday, in quiet trading, and it was only strong support for Brierley Investments that pushed Barclays’ index of industrial shares up 17.66 points to 2995.17. In afternoon trading it seemed as if the market retreated a bit off the day’s highs. "A steady day’s trading on the Christchurch Invercargill Stock Exchange, without any spectacular changes and a lack of strong buying pressure," said Mr Patrick Lee, market operator for the Christchurch sharebroking firm, Chamberlain Sturge and Company. “Prices over all were mixed, and,rises and falls appeared to be spread evenly over both boards. “Brierleys continued its recent rise as prices of its overseas subsidiaries remained strong, and many investors apparently anticipate another good result.” Apex, the subject of

many market rumours last week, lost a little ground yesterday, and investors will have to wait and see whether these rumours come to fruition. Local investors were keenly awaiting Ariadne’s result, and were not disappointed — profit more than quadrupled.

The introduction of new trading hours was well received by local brokers, and should help broking houses in trying to cope with their huge workloads, Mr Lee said. Trading was fairly active, 10.6 million shares changed hands for $20.2 million — an average of 190 c a share. Brierley closed 15c higher at 682, with about 470,000 shares crossing. Hong Kong offshoot lEP gained 20c to 1150 and IEP-controlled TKM advanced 20c to 530. With reference to the extended trading hours, the object is to give exchange staff and brokers enough time between sessions to clear up paper-

work, and match transactions. When each session ends the Stock Exchange matches up the buy and sell orders, and sends a list of each broker’s transactions to them, so they can settle their accounts. If a sale cannot be matched with a corresponding purchase then the operators involved have to contact each other to sort out where the error is. Because of the increased volume of work which has been going through the stock market in recent times it took longer to compile all the sales after trade ended, giving brokers less time to sort out unmatched trades; some brokers did not have time between sessions to clear up unmatched trades, and were working late into the evening to clear them up.

The new hours should reduce pressure on market operators, and also on Stock Exchange staff.