On Tuesday, New Zealand’s S&P/NZX 50 index slipped 0.1% to 13,605, remaining in a narrow trading range as losses in the utilities and transport sectors offset gains in financial stocks.

Top decliners included Vector Limited (-2.6%), Mainfreight Limited (-1.2%), Port of Tauranga (-1.2%), and Napier Port (-1.7%), while financials such as Westpac Banking (+3.8%), ANZ Group (+1%), and Precinct Properties (+1%) provided support.

On the economic front, business inflation expectations stayed subdued, remaining within the Reserve Bank of New Zealand’s 1%–3% target range. Most respondents expect a rate cut this month, with markets largely pricing in a 25 basis points reduction to 2.25% and a smaller probability of a 50 basis points cut, amid rising job losses and a slowing economy.

Market sentiment was also bolstered by optimism over a potential end to the US government shutdown and expectations of future Federal Reserve rate cuts.