Source: Krish Capital Pty Ltd

Index Update: On 5th September 2025, the broader NZ market ended in green amidst strong buying in the IT sector. On the same day, S&P/NZX 50 Index witnessed a rise of 0.69% to end at 13,223.530 and S&P/NZX 20 Index rose by 0.63% to close at 7,675.580. Also, S&P/NZX 10 Index encountered a rise of 0.77% to 12,779.030. Notably, strong buying was witnessed in the technology sector and S&P/NZX All Information Technology rose by 3.06%.  

Macro Update: As per FEU dated 28 August 2025, monthly filled jobs rose 0.2% in July and declined 0.8% YoY. The employment in the goods sector has been declining as the construction sector is witnessing the impact of soft housing market. On the other hand, the primary sector employment has been growing, likely helped by the continued increased export commodity prices.  

Top Market Movers: Among top gainers, KMD Brands Limited (NZX: KMD) witnessed a rise of 10.00% to end at $0.275 per share. On the other hand, Metro Performance Glass Limited (NZX: MPG) declined by 13.33% to $0.039 per share.  

Commodity Update: The dollar steadied on Friday as bond markets calmed, and investors awaited key U.S. jobs data that could strengthen the case for a Fed rate cut. Commodities were mixed: gold edged up 0.07% to $3,609.10, silver rose 0.15% to $41.48, and copper gained 0.45% to $9,935.45. Brent crude fell 0.30% to $66.38, marking its third straight decline ahead of the OPEC+ meeting on potential output hikes. 

Source: Trading View, Analysis: Kalkine Group 

After beginning a short-term rally in April 2025, the S&P/NZX 50 index has recently revisited its 2024 peak at 13,270. Additionally, the index continues to register higher highs and higher lows, signaling that the uptrend is still intact. A decisive break above this resistance would strengthen bullish momentum and potentially pave the way for a test of the all-time high at 13,636. On the downside, immediate support lies at 12,750, with a breach of this level serving as an early warning signal. Meanwhile, the 14-day Relative Strength Index (RSI) is heading north from its midpoint, reflecting a positive market sentiment. 

Our Stance: It could be said that the strong buying in the technology sector somewhat supported the broader NZ market on 5th September. While the earnings reports and macro-economic data points continue to influence the broader global equities, investors need to track the updates which can impact the US Fed’s decision about the interest rates. Recently, RBNZ stated that the economic growth in NZ is expected to gradually recover.  

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