Investors chase yield in low-rate environment and push shares higher
The S&P/NZX 50 Index rose 66.77 points, or 0.7 percent, to 10,027.39. Within the index, 28 stocks increased, 16 fell, and six were unchanged. Turnover was $105.8 million.
The local market joined an Asia-wide rout yesterday when the US president spooked investors by raising the prospect of further tariff hikes on Chinese goods. US Trade Representative Robert Lighthizer today accused China of reneging on previous trade commitments.
However, the confirmation of tariffs did little to deter investors, with equity markets across Asia recovering some of yesterday's decline. China's Shanghai Composite Index was one of the hardest hit on Monday, but was up a modest 0.2 percent in late trading.
Utility companies were among today's local leaders, with reliable dividends still a major drawcard for investors, especially with the chance of another interest rate cut at tomorrow's Reserve Bank policy review. Meridian rose 1.8 percent to $4.18 on a volume of 1.3 million shares, Chorus was up 2.5 percent at $6.20 and Infratil increased 2.7 percent to $4.55.
Click the button below to subscribe and will have free unlimited access for a limited time to full article and all other articles on the site.
You will also be able to comment on articles on Good Returns.
![[Weekly Wrap] KiwiSaver in play; but outcome unclear](https://goodreturns.publit.io/file/c_fill,w_300,h_200/0ad582e4-c9a3-4692-bbe2-62d928f77fd2.jpg)
