SHAREMARKET Bull trend continues

Press, 6 September 1989, Page 44

SHAREMARKET Bull trend continues

The New Zealand sharemarket continued in its bullish mood yesterday, and if there is no correction just might go through 2500 on the Barclays index this week or next.

The market rose 8.64 points on the Barclays industrial index yesterday, closing at 2454.96, after a rise of more than 30 points on Monday. Since the beginning of August, the index has risen 490.9, or 25 per cent. Rises outnumbered falls better than four to three yesterday on good turnover — 21.74 million shares for more than 541.22 M. With Wall Street closed for the American Labour Day holiday, there was no lead overnight from the Dow Jones, though London closed firmer in thin trade. The Australian market closed sharply up yesterday on expectations of strong profit results this

week. CRA, the miner, jumped 20c to 1185, BHP was up 15c to 1055, and News Corporation was up 35c to 1695. Tokyo trading was mixed yesterday, the Nikkei index closing 41.83 points down at 34,441.95. The New Zealand market opened . relatively quietly, and stayed that way for the day, said Mr Craig Robins, market operator for Jarden Morgan, Wellington. Buying support, including from overseas, was still present, he added.

Brierley Investments topped the market in volume yet again, more than 4.33 M shares trading for a total value of $11.58M. The share rose 3c to 268, the sixth consecutive higher closing price. Brierley’s is now more than double its price at the beginning of the year (130 c Favourable reviews of Brierley’s by analysts

overseas have stoked the demand for Brierley’s shares. A block of Helicopter Line shares changed hands: 3.12 million at 62c. This was the former Newmans holdings (now Corporate Investments) changing hands. The block represented about 10% of the shareholding of Helicopter Line. Bank of New Zealand shares were strongly traded, 2.675 M selling for a total of 53.293 M. BNZ shares closed 4c up at 125, compared with 89c at the beginning of last month, a rise of 40%. However, BNZ shares were above 140 c at the beginning of the year, before the full extent of its losses after the share crash were revealed. The Dunedin-based Helicopter Line is strong in tourist-based industries including helicopters, and camper vans. With reports of tourist numbers lifting in Queenstown in the last

month, its prospects are looking better. Helicopter Line shares closed 5c up at 65 yesterday, which compares with 47c at the beginning of last month (a rise of 38%), and 30c at the beginning of the year. Fletcher Challenge, whose annual result will be announced next week, eased 2c to 558 after peaking on Monday at 560 in its run-up since August 1.

The second-line stars continued to firm: Corporate Investments was up 3c at 293, Fernz was up 5c at 690, and Cavalier firmed 10c to 255. Wilson and Horton, the newspaper publisher, added yet another 5c to 865. It is now 138 c, or 18.9%, higher than its price of 727 on August 1, six weeks ago yesterday. Independent Newspapers also rose 5c yesterday, to 570, and is 130 c, or 29.5% ahead of its price six weeks ago.