New Zealand Shares End Slightly Higher on April 9

Index Update: On 9th April, the broader NZ market closed slightly higher amidst buying in the financials sector. On the same day, S&P/NZX 50 Index witnessed a rise of 0.15% to end at 13,273.810 and S&P/NZX 20 Index rose by 0.23% to close at 7,497.480. Also, S&P/NZX 10 Index increased 0.44% to end at 12,942.800. Notably, S&P/NZX All Financials went up by 1.13% to close at 1,736.900.   

Macro Update: Recently, RBNZ stated that medium-term inflationary pressures will largely depend on how much rising costs affect the pricing and wage decisions of businesses and workers. If expectations of medium-term inflation rise, it is likely that inflation will persist for a longer period. The Monetary Policy Committee is committed to bringing inflation back to the 2-percent target midpoint over the medium term. 

Market Movers: Among top gainers, The Warehouse Group Limited (NZX: WHS) witnessed a rise of 5.88% to end at $0.72 per share. On the other hand, New Talisman Gold Mines Limited (NZX: NTL) declined by 6.25%.   

Commodity Update: The U.S. dollar remained under pressure on Thursday following broad weakness, as investors closely monitored whether the fragile two-week ceasefire between the United States and Iran would continue. Precious metals moved lower, with gold declining 0.79% to USD 4,740.10 and silver falling 1.98% to USD 73.91. Copper also slipped 0.47% to USD 12,634.00. Meanwhile, Brent crude oil climbed 2.57% to USD 97.10 amid continuing Strait of Hormuz disruptions and renewed Middle East tensions. 

Source: Charts by TradingView, Analysis: Kalkine Group   

Despite a strong start, the S&P/NZX 50 Index surrendered most of its early gains by the close of the latest session, edging up only 19.87 points, or 0.15%, to finish at 13,273.82. Importantly, the index was unable to break above the key resistance level at 13,339.06, aligned with the mid-March peak, for a second consecutive session. The formation of two candles with extended upper shadows highlights persistent selling pressure at this level, suggesting that the recent rebound may represent a corrective move rather than the beginning of a sustained uptrend. From a technical standpoint, a clear and sustained breakout above 13,339.06, preferably supported by stronger trading volume, would be necessary to negate the prevailing bearish bias and indicate a potential reversal in trend.  

Our Stance: As of now, the US stocks recently rallied, led by the S&P 500, Dow, and Nasdaq, as geopolitical tensions eased and oil prices fell, lowering inflation and business costs. Coming to NZ, the markets have shown resilience, supported by improved risk sentiment from easing global geopolitical tensions and stable monetary policy from the Reserve Bank of New Zealand. Overall, a combination of market confidence, policy clarity, and sector-specific gains underpinned recent NZ market trends.