Broker view

Press, 27 June 1987, Page 25

Broker view

Mr Brian Kreft of the broker, Forsyth Barr, said yesterday that brokers were commenting that there was little or no cash around. There was a consensus that unless there was an injection of adrenalin into the domestic market, it would continue to drift until the yet-to-be-an-nounced General Election date. The outlook for next week therefore could not be dissimilar from the week just passed, with brokers’ order books looking decidely thin. “Therefore volumes can be expected to be low and consequentially stock price movements marginal.” The resource . and

manufacturing industry sectors were the centre of increasing investor attention while the property and investment areas continued out of favour, Mr Kreft said. “In the past we have spoken of rationalisation in the former, i.e. the property sector is now almost inevitable. We have, for example, Buttle Wilson — one of New Zealand’s largest broking houses, with a strong research department — predicting the Hobson Group (formerly Queenstown Resorts) will make a loss this year. With the current share price at 55c, it is certainly an indication that all is not ‘beer and skittles’ in this market sector.”