Nervous stock market rally

Press, 22 October 1987, Page 1

Nervous stock market rally

ADRIAN BROKKING

The New Zealand sharemarket yesterday recovered about a quarter of the ground lost in Tuesday’s historic slide, as buyers came back in droves to make amends.

Trading was exceptionally active at <BO million worth of rtuuv* changed hand* during the invertors were still nervous and jittery, and prices see-sawed with an early rapid recovery reversed and turned into a decline as investors sold into the rally, only to be followed by a further recovery. People again watched impassively from the public stock

exchange viewing galleries but much of tbe heat went out of the market although trading remained volatile and active. Sharebrokers heaved sighs of relief when the rally resumed, but few were game enough to predict what is likely to happen today. The impression is that most dealers and analysts are pemimltfir rather ‘han optimistic.

Markets throughout the world are taking heart from the recoveries by the Wall Street and Tokyo sharemarkets. The general feeling is that although the world economy has bad a bed sbock«Jbere is no parallel with 1929. w Farther reports, page 27.