Stock market begins new week bearish

Tuesday, 8 September 2020 00:27 -     - {{hitsCtrl.values.hits}}

The Colombo stock market began a fresh week on a bearish note with below recent average turnover whilst foreigners remaining on the selling side. 

Acuity Stockbrokers said the Bourse ended on a negative note as the ASPI decreased by 0.01% or 0.75 points to close at 5,310.67 points, while the S&P SL20 Index also decreased by 0.59% or 13.68 points to close at 2,307.89.

Turnover decreased by 26.2% relative to last Friday to amount to Rs. 0.75 billion while the turnover of RIL Properties accounted for 9.1% of the total.

Foreign investors meanwhile, recorded a net outflow of Rs. 0.02 billon over the day compared to a net outflow of Rs. 0.21 billion on Friday.

First Capital said the Bourse gave a vigilant start to the week, continuing the fall for the 3rd consecutive session, predominantly due to the selling pressure in selective index heavy counters. 

“ASPI recorded an uptrend within the first few minutes of trading as it reach its intraday high of 5,330. Thereafter market witnessed a continuous downtrend till the end of the session and closed at 5,311 failing to eke a gain,” it said. 

Turnover fell below Rs. 1 billion almost after a month while Capital Goods and Material counters led the turnover contributing 34%. Market continued to record a net foreign outflow with a low participation, First Capital added.  

NDB Securities said the ASPI edged down as a result of price losses in counters such as Ceylon Tobacco Company, Lion Brewery and Distilleries.

High net worth and institutional investor participation was noted in Piramal Glass Ceylon and Commercial Bank. Mixed interest was observed in R I L Property, Expolanka Holdings and Kelani Tyres, whilst retail interest was noted in Sierra Cables, Access Engineering and Renuka Agri Foods. 

Capital Goods sector was the top contributor to the market turnover whilst the sector index lost 0.27%. Materials sector was the second highest contributor to the market turnover (due to Piramal Glass), whilst the sector index increased by 1.69%. The share price of Piramal Glass moved up by Rs. 0.40 (10.81%) to close at Rs. 4.10.

R I L Property, Expolanka Holdings, Kelani Tyres and Commercial Bank were also included amongst the top turnover contributors. The share price of R I L Property increased by Rs. 1.30 (28.89%) closing at Rs. 5.80, whilst foreign holdings decreased by 1,315,005 shares.

Moreover, the share price of Expolanka Holdings gained Rs. 0.10 (1.64%) to close at Rs. 6.20, while the share price of Kelani Tyres recorded a gain of Rs. 4.70 (7.57%) to close at Rs. 66.80. The share price of Commercial Bank declined by Rs. 0.60 (0.76%) closing at Rs. 78.00 whilst foreign holdings decreased by 107,244 shares.


Bond yields broadly steady