Positive start for Colombo bourse on renewed buying interest

The Colombo stock market began a new week on a positive note thanks to renewed buying interest from local investors on select blue chips. 

The All Share Price Index gained by 1.3% and the active S&P SL20 index by 2.4% with a healthy turnover of Rs. 2 billion. Ceylon Tobacco shot up by Rs. 33.70 to Rs. 963.70 whist it hit an intra-day high of Rs. 969. Premier blue chip John Keells Holdings (JKH) gained by Rs. 4.70 to close at Rs. 114.70 after an intra-day high of Rs. 115.30.

First Capital said the Bourse ended in the green territory reversing the impact seen in the last five trading sessions, however market experienced a substantial foreign outflow after two weeks, dominated by selling pressure in selected Banking counters. 

“ASPI was uplifted predominantly due to the price gains in big caps Ceylon Tobacco and John Keells Holdings. The index witnessed a continuous uptrend since the beginning of the session and closed at its intraday high of 4,842 gaining 61 points,” it added. 

Turnover for the session was boosted by the parcel trades which amounted to 44% of the total.

NDB Securities said the ASPI closed in green as a result of price gains in counters such as Ceylon Tobacco Company, John Keells Holdings and Lion Brewery. A similar behaviour was witnessed in the S&P SL20. Crossings were witnessed in Hatton National Bank, Nations Trust Bank, Lion Brewery, Sampath Bank, John Keells Holdings, Commercial Bank and Aitken Spence, accounting for 43.8% of the turnover. 

Mixed interest was observed in Tokyo Cement Company whilst retail interest was noted in Tokyo Cement Company nonvoting and Access Engineering. 

Furthermore, foreigners remained active closing as net sellers. Total foreign sales accounted for 69.6% of the turnover.

The Banking sector was the top contributor to the market turnover (due to Hatton National Bank, Nations Trust Bank, Sampath Bank and Commercial Bank) whilst the sector index gained 1.09%. The share price of Hatton National Bank increased by Rs. 1.50 (1.58%) to close at Rs. 96.50.

The share price of Nations Trust Bank gained Rs. 0.10 (0.17%) to close at Rs. 60.60. The share price of Sampath Bank recorded a gain of Rs. 1.60 (1.53%) to close at Rs. 106.50. The share price of Commercial Bank appreciated by Rs. 0.80 (1.28%) to close at Rs. 63.50.

Capital Goods sector was the second highest contributor to the market turnover whilst the sector index increased by 2.23%.

Lion Brewery was also included amongst the top turnover contributors. The share price of Lion Brewery moved up by Rs. 25.10 (5.02%) to close at Rs. 525.10.