NZ stocks close 3.2 percent lower

WELLINGTON | Thu Oct 23, 2008 12:12am EDT

WELLINGTON Oct 23 (Reuters) - New Zealand's benchmark stock index closed unofficially 3.2 percent lower on Thursday, as worries about a global economic recession offset a large rate cut by the Reserve Bank of New Zealand.

The benchmark NZX-50 index .NZ50 fell 92.06 points to close at 2,807.34.

Top stock Telecom Corp TEL.NZ fell 7.4 percent to NZ$2.26, the No.2 stock Contact Energy Ltd CEN.NZ fell 4 percent to NZ$7.02, while the third ranked Fletcher Building Ltd FBU.NZ was 2 percent lower at NZ$6.00.

So far this year the NZX-50 index has fallen around 36 percent.

Markets around the Asia-Pacific region were weaker, with Australia .AXJO down 4.1 percent, and Tokyo .N225 6.6 percent lower.

Earlier the Reserve Bank cut its cash rate by a record 1 percentage point to 6.5 percent, citing the global financial turmoil and the threat of a longer economic downturn (see [nWEL406476]. (NZ$1=$1.69)

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