New Zealand Shares Continue Declining for Fourth Consecutive Day

The NZX 50 dropped by 21 points, or 0.2%, to 13,256 during morning trading on Wednesday, marking its fourth consecutive decline and reaching its lowest point since September 29. Traders are exercising caution due to ongoing trade tensions between the US and China. They are also anticipating the release of Chinese consumer and producer price data for September later today, with expectations of continued declines indicating persistent weak domestic demand in mainland China. Recent reports from the IMF have added to the negative sentiment, as the agency predicts that global GDP growth will stay below the 2024 level at 3.2%, despite an upward revision from the July forecast of 3.0%. However, comments from Fed Chair Jerome Powell, which raised hopes of interest rate cuts, helped limit the decline. The materials, healthcare, and utilities sectors were the main contributors to the index's decline, with significant losses from Vulcan Steel (-1.7%), Fisher & Paykel (-1.5%), Meridian Energy (-1.5%), Gentrack Group (-0.9%), and Ryman Healthcare (-0.7%).