Merry Christmas for the local stock market

The S&P/NZX 50 Index advanced 17.73 points, or 0.1 percent, to 13,037.94. Within the index, 24 stocks rose, 17 fell and nine were unchanged. Turnover was $113.6 million in a half-day of trading.

A2 Milk rose 1.4 percent to $12.06, extending its recent recovery, after the milk marketing firm agreed terms to buy three-quarters of Mataura Valley Milk for $268.5 million. The purchase includes a commitment to invest $120 million in the facility over the next two or three years.

Grant Davies, an investment adviser at Hamilton Hindin Greene, said A2’s sharp drop earlier this month after its profit warning attracted some buyers who saw it as a bargain.

“A2’s had a little bit of a recovery, which would’ve helped” lift the broader index, he said.