NZ Market Ends Flat: A Quick Overview

                                              Source: Krish Capital Pty Ltd 

Index Update: On 8th October 2025, the broader NZ market ended the trading session on a flat note. On the same day, S&P/NZX 50 Index witnessed a rise of 0.27% to end at 13,568.480 and S&P/NZX 20 Index increased by 0.17% to 7,769.110. Also, S&P/NZX 10 Index encountered a decline of 0.01% to end at 12,888.450. Notably, strong buying was witnessed in the discretionary sector and S&P/NZX All Consumer Discretionary rose by 2.19%.  

Macro Update: As per the release published on 8th October by RBNZ, the Committee reached consensus to reduce the OCR by 50 bps to 2.5%. Notably, the economic growth in NZ’s trading partners has been proving to be resilient, partly due to the healthy investment in AI-related activity, but is anticipated to slow in 2026.   

Top Market Movers: Among top gainers, Cooks Coffee Company Limited (NZX: CCC) witnessed an increase of 14.29% to end at $0.24 per share. On the other hand, Manuka Resources Limited (NZX: MKR) declined by 7.50%.  

Commodity Update: The U.S. dollar strengthened to a two-month high in early Asian trade Wednesday amid renewed concerns over a potential U.S. government shutdown, driving safe-haven demand. Gold rose 0.72% to $4,033.50, silver gained 1.47% to $48.21, while copper slipped 0.16% to $10,712.40. Brent crude advanced 0.70% to $65.91 as traders weighed mixed U.S. inventory data and an upcoming modest OPEC+ output hike in November. 

Source: Trading View, Analysis: Kalkine Group 

After a short-term correction within a broader uptrend characterized by a consistent sequence of higher highs and higher lows, the S&P/NZX 50 index has recently broken above its 2024 peak at 13,270. This breakout provides confirmation that the underlying bullish structure remains intact and could act as a catalyst for renewed upward momentum. From a technical perspective, this decisive breakout opens the door for a potential retest of the all-time high at 13,636. If the index can sustain its position above the former resistance at 13,270, this level may now serve as a strong support base, adding further credibility to the positive outlook. Additionally, the momentum indicator 14-day Relative Strength Index (RSI) is heading north from its midpoint, providing further support for the previous view. 

Our Stance: RBNZ, in the release dated 8th October, stated that there are upside and downside risks to the inflation outlook in NZ. Notably, the cautious behaviour of households as well as businesses could slow the economic recovery, which could reduce the medium-term inflation pressure. Alternatively, increased near-term inflation might prove to be more persistent. The economic activity through the middle of 2025 remained weak.