NZ Market Witnesses Selling Pressure

Index Update: On 13th October 2025, the NZ market closed the trading session in red amidst broad-based selling pressure. On the same day, S&P/NZX 50 Index witnessed a decline of 0.86% to end at 13,351.920 and S&P/NZX 20 Index fell by 0.88% to 7,641.880. Also, S&P/NZX 10 Index declined by 0.79%. Notably, significant selling was witnessed in the IT sector and S&P/NZX All Information Technology declined by 2.21%.    

Macro Update: Stats NZ released data about international travel (August 2025). The overseas visitor arrivals stood at 230,300 in August 2025, reflecting a rise of 16,000 from August 2024. The biggest changes were witnessed in the arrivals from Australia (up 8,500), China (up 1,700), etc. Notably, the total number of overseas visitor arrivals in August 2025 was 92% of the 251,100 in August 2019 (before the pandemic).  

Top Market Movers: Among top gainers, Manuka Resources Limited (NZX: MKR) witnessed a rise of 25.68% to end at $0.093 per share. On the other hand, WasteCo Group Limited (NZX: WCO) declined by 10.53% to $0.017 per share.  

Commodity Update: The U.S. dollar rebounded on Monday after an early selloff, as hopes grew that Washington might soften its latest trade measures against Beijing. Political uncertainty in France and Japan weighed on the euro and yen. Commodities strengthened, with gold up 1.58% to $4,063.40, silver rising 3.24% to $48.79, and copper gaining 1.78% to $10,600.00. Brent crude advanced 1.70% to $63.78, recovering from earlier losses.  

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. Currently, while undergoing a minor correction, the index is still trading above a significant support established by the January 2025 high, providing further support for the previous view.  

Our Stance: It could be said that broad-based selling in the NZ market impacted the investors’ sentiments in NZ on 13th October. While the investors were concerned after the significant sell-off in the US equities, it seems that now those concerns have been eased to some extent. This is after the comments from the US President, which calmed some fears related to the revived trade dispute with China. However, the global uncertainties still remain, and investors are required to be cautious.