New Zealand's benchmark S&P/NZX 50 index fell 0.7% to 12,787 on Friday as optimism over US-China trade talks faded. Earlier in the week, investors cheered a truce in the US-China trade war, which significantly reduced the chances of a global recession. In domestic news, New Zealand's manufacturing activity expanded for a fourth straight month in April, driven by an increase in new orders. On the corporate front, most index heavyweights closed lower, with Fisher & Paykel (-1.4%), Mercury NZ (-1.1%) and Contact Energy (-2.4%) among the biggest losers. Other big losers included Fletcher Building (-2.6%), Summerset Group (-2.3%), Skellerup Holdings (-3.1%) and Oceania Healthcare (-3.0%). Despite Friday's pullback, the NZX 50 index ended the week up 1.4%, its third straight weekly gain.