02.09.202606:05:14UTC+00NZX 50 Closes 1% Higher After RBNZ Hike

New Zealand equities advanced 144 points, or 1.0%, to close at 13,931 on Wednesday, fully reversing the prior session’s losses after the Reserve Bank of New Zealand raised the official cash rate by 25 bps. The central bank underscored its resolve to bring inflation back within its 1%–3% target band.

The benchmark index rebounded from its lowest level since August 17, hit in the previous session, supported primarily by strength in financials, consumer staples, communication services, and utilities. Upside momentum was partly restrained by higher oil prices, which stoked inflation concerns and reinforced expectations of further monetary tightening amid escalating tensions in the Middle East.

On the data front, New Zealand’s consumer confidence edged down in August, while building permits extended their decline. Among the standout performers were Chorus (up 2.7%), Briscoe Group (2.5%), Mercury NZ (2.3%), A2 Milk (2.0%), Meridian Energy (1.5%), ANZ Group (1.3%), Fisher & Paykel (0.9%), and Mainfreight (0.8%).