THE MARKET Trend confirmed in light trading

Press, 7 January 1987, Page 29

THE MARKET Trend confirmed in light trading

The weaker trend that began to emerge on Monday afternoon was confirmed yesterday in somewhat more active but still light trading.

Rises and falls were about in balance, but Barclays’ index of industrial shares fell 9.71 points to 3781.90, on a turnover of 6.5 million shares. The total value of shares traded was $13.3 million shares — an average of 204 c a share.

Most exchanges closed earlier than usual for want of business. One broker said the market looked set to edge downward.

Trading was thin with many institutional clients enjoying an extended summer holiday break. Brokers expected subdued trading to continue

in the short term. Leading stocks were generally easier. Brierley Investments shed 16c to 642, Fletcher Challenge 2c to 480, Progressive Enterprises lost 12c to 448, and Wilson and Horton 10c to 790. “The day’s trading was quiet and lacked real substance,” said Mr Patrick Lee, market operator for the Christchurch sharebroking firm Chamberlain Sturge and Company. “Prices drifted downward in a sottish market,” he said.

“Traditionally this time of year has been a period when share prices rise, but with investors apparently sitting back and waiting until later in the month before committing funds this has not been

the case so far this year.

“Three market leaders, Brierley Investments, Fletchers, and Robert Jones Investments eased, while Equiticorp and Waitaki were well bid at the close.

“There were some large movements in second-line stocks, with Entregrowth, First City, and the infrequentlytraded R. W. Saunders showing good gains.

“Our market looks as if it will continue to drift in the next couple of days, despite the lead shown by overseas markets,” Mr Lee said. The so-called entrepreneurial stocks were mixed with an easier bias. Those losing ground included Chase, 3c to 712, Euronational, 10c

to 475, Crown, 20c to 225, Jarden Corporation, 8c to 290, Kupe, 35c to 325, Rainbow, 30c to 505, and Renouf Corporation, 12c to 618, while Equiticorp gained 5c to 555, Omnicorp the same amount to 255, and Tozer KM also 5c to 470.

Property stocks were on the whole again weaker: Mayfair dropped 20c to 380, Baker Corporation 5c to 380, Robert Jones Investments at 280 and Rainbow Properties at 315 lost 10c each, and St Martins 20c to 100, while Renouf Properties put on 15c to 275, and Aurora 25c to 410.

Among second-line stocks Bexley Corporation reacted to Monday’s profit report with a 22c fall to 528, but R. W. Saunders jumped 10c to 240, NZ Marine Farms rose 8c to 168 c, and Wilson Neill 25c to 1425.

Newly-listed Europac dropped 150 c to 3150. Small gains were posted by a few leaders: 5c gains were made by Feltex at 415, L. D. Nathan at 785, Watties at 315, and Waitaki at 180, while NZ Forest Products at 418/ Newmans at 232, McDowell at 298 put on 3c each.