NZX 50 Slumps 1.5% from Record High Amid Global Economic Uncertainty

New Zealand's stock market took a hit on Thursday, falling 1.5% to close at 13,763 after reaching a record high just days before.

The decline was largely driven by sectors including financials, healthcare, consumer staples, communication services, and materials, which were weighed down by traders taking profits.

Traders had been anticipating the release of China's PMI due on Friday, amid uncertainty over the global economic outlook and its impact on New Zealand's top trading partner.

However, a positive reading on New Zealand business confidence helped cushion the blow, with sentiment reaching its highest level in five months. Moderating oil prices also eased inflation concerns and expectations of an interest rate hike.