Shares closed lower after profit-taking from a record high, tracking weaker Wall Street sentiment as AI spending doubts, high oil prices, tariff concerns and rate uncertainty weighed on risk appetite.
New Zealand's benchmark NZX 50 closed 23 points, or 0.2%, lower at 13,772 on Friday, pulling back from the record high reached a day earlier as investors took profits. The decline followed weaker Wall Street sentiment after disappointing economic data and renewed doubts over AI spending, while elevated oil prices added to inflation concerns and reinforced expectations that interest rates could stay higher for longer. The newer report also said proposed U.S. tariffs of 10% to 12.5% on 60 economies, including New Zealand, added pressure. Consumer discretionary, energy, healthcare and financial shares were among the main drags, including Fletcher Building, Infratil, Fisher & Paykel and Freightways. Despite Friday's decline, the index posted a 0.6% weekly gain after falling last week.