SHAREMARKET Bargain hunters brake decline

Press, 19 February 1987, Page 24

SHAREMARKET Bargain hunters brake decline

Tuesday’s sharp decline in sharemarket prices was arrested yesterday, as a number of market leaders bounced back in slightly less active trading.

Falls outnumbered rises more than three to two, and the NZSE capital index dropped marginally — 0.27 points to 1120.36. Barclay’s index of 40 industrial shares rose 31.69 points to 3074.69 — reflecting the weight of a few leaders in this index.

Trading volume was lower, 11.4 million shares against 14 million on Tuesday, but their value was higher — $33.6 million for an average of 293 c a share.

Much of the buying appeared to originate in Auckland, and institutions are still on the sideline.

Market analysts are not prepared to assert that support levels have been reached.

“The market staged a slight rally,** said Mr Simon Flood, market operator for the Christchurch sharebroking firm Egden and Wignail and Company. “The market was fairly firm in the morning, and many leading shares were dearer — a positive sign that the market might be better today.” “Capital Markets, beck to 482 at one stage, looked strong all day, and Brierley Investments also finished on a strong note. “Trading was quite active all day on slightly lower volume, and it seems that some of the “intelligent” money is

flowing back into the market,” Mr Flood said. Recoveries among the leaders included Brierfey Investments op 12c to 398, Carter Holt 25c to 395, Capital Markets 52c to 472, Chase 30c to 530, Fisher and Paykei 15c to 490, Fletcher Challenge 1c to 476, and Goodman Fielder 15c to 500. Fans included Equlticorp, 8c to 392, lEP 10c to 490, Jarden Corp 2c to 220, Judge Corp 10c to 750, L D Nathan 8c to 632, Magnum Corp 35c to 570, Rainbow Corp 7c to 365, Robt Jones Investments 8c to 187. NZ Marine Farms recovered 20c to 40c, but NZ Salmon fen a further 30c to 270, and Big Glory sold down 15c to 235 c.