WELLINGTON: New Zealand shares have gained, as investors sought defensive healthcare stocks. The S&P/NZX 50 Index advanced 13.27 points, or 0.2 per cent, to 5696.79 on Tuesday. Within the index, 25 shares rose, 16 fell and nine were unchanged. Turnover was $131 million.
Orion Health, the healthcare management software developer, led the benchmark index higher up 6.8 per cent to $3.60 and healthcare and animal products company Ebos climbed two per cent to $11.78.
“The healthcare sector is viewed as quite defensive, so probably quite appropriate after the recent volatility we’ve seen in the markets,” Hamilton Hindin Greene director Grant Williamson said. Units of Fonterra Shareholders Fund, which give holders exposure to the co-op’s earnings, rose 0.6 per cent to $5.20.
Fonterra is due to report annual earnings on Thursday. The global dairy price slumped through much of this year, prompting Fonterra to slash its forecast payout for the 2016 season to $3.85 per kilogram of milk solids, the lowest level in more than a decade.
“The last two auction prices have shown some positive signs there,” Mr Williamson said. “It’ll be interesting to hear what they have to say and the dividend is what investors are interested in as well.”
A2 Milk Co rose 1.4 per cent to 72 cents and Kathmandu Holdings gained 2.7 per cent to $1.53. Metro Performance Glass was the worst performer on the benchmark index, down 1.4 per cent to $1.38.
