Stock market fails to sustain revival

Wednesday, 10 March 2021 00:25 - - {{hitsCtrl.values.hits}}

The Colombo stock market yesterday failed to sustain the emphatic revival seen on Monday as indices closed on a mixed note whilst turnover continues to struggle.

The All Share Price Index lost 21.5 points or 0.3% as opposed to 3.74% gain on Monday. The S&PSL20 managed to close marginally up by three points or 0.1% unconvincing in comparison to a 4% jump the previous day. Turnover was Rs. 2.77 billion – same as Monday.

Asia Securities said, following an initial pickup, the indices gradually trended downwards to close on a mixed note. “Investors took the opportunity to cash in on strong gains witnessed on Monday,” it added.

First Capital said the market reverted back to the red territory, continuing the Tuesday trend of being red, for the sixth consecutive week.

“Index spiked, followed by a short-lived uptrend within the first hour of trading while recording an intraday high of 7,467. Thereafter the market witnessed a rutted downtrend for the rest of the session and closed at 7,297 losing 22 points,” First Capital added.

NDB Equities said the ASPI closed in red as a result of price losses in counters such as Expolanka Holdings, LOLC Holdings and Ceylon Tobacco Company.

It said high net worth and institutional investor participation was noted in John Keells Holdings and Hayleys. Mixed interest was observed in Dipped Products and Vallibel One, whilst retail interest was noted in Browns Investments and Industrial Asphalts.

Capital Goods sector was the top contributor to the market turnover (due to Vallibel One) whilst the sector index lost 0.48%. The share price of Vallibel One recorded a loss of Rs. 1.40 (2.57%) to close at Rs. 53.10.

Materials sector was the second highest contributor to the market turnover (due to Dipped Products) whilst the sector index decreased by 1.64%. The share price of Dipped Products increased by Rs. 0.10 (0.20%) to close at Rs. 50.20.

Expolanka Holdings, LOLC Holdings and Browns Investments were also included amongst the top turnover contributors. The share price of Expolanka Holdings lost Rs. 1.90 (3.93%) to close at Rs. 46.50. The share price of LOLC Holdings moved down by Rs. 6.75 (2.06%) to close at Rs. 321.25. The share price of Browns Investments declined by Rs. 0.10 (1.79%) to close at Rs. 5.50.

Net foreign selling yesterday was Rs. 133 million. Estimated net foreign buying topped in DIAL at Rs. 27.5 million and net foreign selling topped in JKH at Rs. 118 million.