Broader NZ Market Ends in Red

Index Update: On 5th December, the broader NZ market closed lower amidst selling in the technology stocks. On the same day, S&P/NZX 50 Index witnessed a decline of 0.23% to end at 13,483.990 and S&P/NZX 20 Index fell by 0.17% to close at 7,693.880. Also, S&P/NZX 10 Index encountered a fall of 0.01% to 12,896.950. Notably, IT stocks witnessed selling pressure, with S&P/NZX All Information Technology declining by 3.16%.     

Macro Update: As per the FEU dated 20 November 2025, the net migration outturns have been lower compared to the long-run averages partly showcased in subdued card spending as well as house prices. RBNZ stated that there was a discussion about the balance between supply capacity and demand. Apart from the short-run factors, the economy’s medium-term supply capacity was reduced by weak growth in productivity and working age population.  

Market Movers: Among top gainers, Savor Limited (NZX: SVR) witnessed a rise of 7.69% to end at $0.21 per share. On the other hand, New Talisman Gold Mines Limited (NZX: NTL) declined by 32.50% to $0.027 per share.  

Commodity Update: The U.S. dollar hovered near a five-week low as traders awaited next week’s Federal Reserve meeting, where a quarter-point rate cut is widely expected. Markets will watch for clues on the pace of future easing. Gold slipped 0.21% to USD 4,234.15, while silver rose 0.99% to USD 58.06 and copper gained 1.08% to USD 11,568.50. Brent crude inched up 0.09% to USD 63.32, supported by rate-cut expectations and rising geopolitical tensions.  

Source: Trading View, Analysis: Kalkine Group  

The S&P/NZX 50 Index continued to move sideways between its all-time high and the key support band near the 2024 peak, easing 31.61 points, or 0.23%, in the latest session to finish at 13,484.00. Although the market is undergoing a mild pullback, it remains well above this important support area, preserving a constructive near-term outlook. As long as price action holds above this major support, the broader uptrend that has been in place since October 2023 stays intact. Initial support sits at 13,270; maintaining levels above this threshold would reinforce the bullish bias and keep the door open for another attempt at the record high. However, a clear drop below 13,270 may indicate the onset of a deeper correction, with potential downside toward the 13,000 region before the longer-term uptrend could reassert itself.  

Our Stance: It could be said that selling in the technology sector weighed over the broader NZ market on 5th December. Globally, while the investors continue to focus on the macro-economic releases to assess the chances of the rate cut, there is still some uncertainty related to the tariffs and trade environment. Coming to the NZ, RBNZ stated that measures of domestic financial stress have eased, with the lower interest rates reducing debt servicing pressures. Early arrears have witnessed a fall. Notably, these arrears give an early indicator of impaired lending.