Middle East flare-up weighs on NZX50 as Willis maps path to early surplus

New Zealand’s S&P/NZX 50 index tapered off through the day as a series of strikes in the Middle East sapped optimism for a peace deal, which had already got mixed messages from President Donald Trump’s dissatisfaction with how negotiations were progressing.

Finance minister Nicola Willis unveiled her third budget, with a tight rein on the books set to return the government’s operating balance to surplus a year earlier than previously predicted – albeit on forecasts economists largely viewed as optimistic.

Mainfreight climbed to a two-month high after its annual report met expectations, cooling fears the logistics firm would be knocked harder by the energy shock, while Fonterra Shareholders’ Fund units rallied as the dairy exporter lifted its earnings outlook for the year and announced an opening farmgate milk price forecast at the top of expectations.

And Stride Property declined as investors in the Diversified Property Fund it manages will soon decide on whether to wind up the fund.