SHAREMARKET Bargain hunters prop index

Press, 20 March 1987, Page 10

SHAREMARKET Bargain hunters prop index

After a very weak sharemarket yesterday morning, bargain hunting in selected leaders in the afternoon chased Barclays index of industrial shares up 20.88 points to 3193.02. There were more falls than rises, and the NZSE capital index — which embraces the whole market — lost no less than 13.47 points to 1133.42. The Reserve Bank index lost 78 points to 11424. Trading volume was about average — 7.3 million shares. changing hands for $16.4 million — equivalent to 224 c a share.

Fletcher Challenge, ex bonus and dividend, closed at 545 —21 c above its theoretically adjusted price. “There’s still a lot of sup-

port for the stock (FCL) out of Australia, at prices quite a bit above the New Zealand market," one broker said. Other stocks prominent in Barclays’ index were Chase Corporation up 11c to 512, Euro-National 8c to 434, Goodman Fielder 5c higher at 548, and NZ Forest Products, 6c up to 398. Smart Group, which announced a bonus issue yesterday after a substantial profit increase, jumped 30c to 265, one of the best rises of the day. “The market was flat and quiet in the morning, but improved later in the afternoon, with some earlier oversold positions in demand," said Mr Richard Boulton, of Hamilton Hindin and Greene, Christchurch sharebroker. “Fletcher Challenge was well sought, mostly on Australian inquiry, perhaps related to the overseas visit of

t Sir Ronald Trotter. s “Chase also added to the 1 improvement in Barclays index, as it looked cheap at 1 580 c. ; “The institutions continue ; ducking for cover, and tend I, to be selective sellers at r present - “Some good results are coming through — for example Venture Corporation ahd Verona. 1 “Ariadne at around 330 : looks good buying, while s Kupe appears to be coming back into prominence — an1 other Judge-related comP “We see the major influr ence on the market high interest rates and political I uncertainty,” Mr Boulton i said. i A number of favoured entrepreneurial and blue-chip s industrial stocks featured -> among the falls. •' Judge lost 5c to 760, Jarf den 4c to 220.