Stock market turns negative on Election Day

The Colombo stock market closed negative on Election Day, with Rs. 604 million in turnover, partly owing to reduced trading hours and lacklustre investor sentiments.

The All Share Price Index declined by over 20 points or 0.4% and the S&P SL 20 Index was down by over 5 points or 0.2%.

Year to date, the ASPI is down 16% and S&P SL 20 is lower by 24.8%.

First Capital said profit-taking in selected big cap counters amidst Election Day falter the positive momentum seen for the past two trading sessions. 

It said selling pressure mainly witnessed in John Keells Holdings and Browns Investments drove the index on a downtrend since the beginning of the session and closed at 5,146 losing 20 points. 

Turnover recorded over Rs. 600 million despite the limited trading window led by Capital Goods counters contributing 38% of the total. 

Foreign investors continued to be on the selling-side recording moderate participation, First Capital added. Net foreign outflow was Rs. 164 million though down from Rs. 343 million on Monday.

NDB Securities said the ASPI closed in red as a result of price losses in counters such as John Keells Holdings, Browns Investments and Asian Hotels & Properties.

High net worth and institutional investor participation was noted in John Keells Holdings. Mixed interest was observed in Access Engineering and LOLC Holdings, whilst retail interest was noted in Browns Investments and Tokyo Cement Company. Furthermore, foreigners closed as net sellers mainly due to foreign selling in John Keells Holdings and Commercial Bank non-voting.

Capital Goods sector was the top contributor to the market turnover (due to John Keells Holdings and Access Engineering), whilst the sector index lost 0.89%. The share price of John Keells Holdings decreased by Rs. 1.20 (1.06%) closing at Rs. 112.00 whilst foreign holdings decreased by 668,075 shares. The share price of Access Engineering gained Rs. 0.40 (1.91%) to close at Rs. 21.30.

The Banking sector was the second highest contributor to the market turnover (due to Commercial Bank voting and non-voting and Sampath Bank), whilst the sector index edged up by 0.04%. The share price of Commercial Bank moved up by Rs. 0.20 (0.26%) to close at Rs. 77.00 while the share price of Commercial Bank non-voting recorded a gain of Rs. 0.50 (0.79%) closing at Rs. 64.00 whilst foreign holdings decreased by 426,308 shares. The share price of Sampath Bank edged down Rs. 0.10 (0.08%) to close at Rs. 123.60.