Image Souce: Krish Capital Pty Ltd
Index Update: On 1st November 2024, the NZ market closed lower amidst broad-based decline. On the same day, S&P/NZX 50 Index witnessed a decline of 0.63% to end the session at 12,559.280. Also, S&P/NZX 20 Index encountered a fall of 0.74% to 7,585.360 and S&P/NZX 10 Index fell by 0.55%. S&P/NZX All Utilities witnessed a decline of 1.58% to end the session at 3,440.860. However, S&P/NZX All Materials rose by 2.46% and S&P/NZX All Energy increased by 1.69%.
Macro Update: Stats NZ stated that there were 9,176 new homes consented in Aotearoa New Zealand in the September 2024 quarter, reflecting a rise of 0.5% as compared with the September 2023 quarter. In the September 2024 quarter, there were 4,485 stand-alone houses consented, implying a rise of 24% compared with the September 2023 quarter. There were 4,691 multi-unit homes consented, down by 15% over the same period.
Top Market Movers: Among top gainers, PaySauce Limited (NZX: PYS) witnessed a rise of 7.50% to end the session at $0.215 per share and AoFrio Limited (NZX: AOF) rose by 7.41%. On the other hand, Promisia Healthcare Limited (NZX: PHL) declined 9.09%.
Commodity Update: The dollar stabilized against major currencies on Friday as investors awaited the U.S. jobs report, which is crucial for assessing economic resilience ahead of the Federal Reserve's monetary policy meeting and the upcoming presidential election. Economists expect October’s nonfarm payrolls to show an increase of 113,000 jobs, though recent hurricanes may affect this figure. In commodities, gold rose 0.33% to $2,758.50 per ounce, silver increased 0.10% to $32.83, and copper gained 0.14% to $9,568.50 per ton. Brent crude futures climbed 1.95% to $70.61 per barrel amid rising geopolitical tensions in the Middle East.

Source: Trading View, Analysis: Kalkine Group
In July 2024, the S&P/NZX 50 index surpassed both the neckline of a Head and Shoulders pattern on the daily chart and a key resistance level marked by its 2023 high. This breakout indicates that the uptrend, which started in November 2023, is likely to persist and could push the index toward its historical peak from 2021. While currently experiencing a minor pullback, the index continues to form higher highs and higher lows, reinforcing the ongoing uptrend. Furthermore, the 14-day Relative Strength Index (RSI) is oscillating between 40 and 60, indicating a neutral short-term market sentiment.
Our Stance: It could be said that the NZ market witnessed broad-based selling pressure on 1st November 2024. Market experts believe that there should be a balance between investor caution and optimism over the upcoming weeks. However, some economic uncertainties—such as trade policies and the upcoming U.S. elections—might affect the prospects of sustainable growth. That being said, the investors are required to track the earnings reports of the well-established companies.






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