Investors zoom on banking stocks

Tuesday, 26 October 2010 04:58 - - {{hitsCtrl.values.hits}}

Apart from the mega transfer of LB Finance stake for Rs. 5.3 billion, the stock market saw investors zooming on banking sector stocks whilst overall sentiments remain fragile. Excluding LB Finance, investors traded on around Rs. 1.7 billion worth of banking and finance sector stocks yesterday though its index dipped by 1%.

Whilst trade on 2.2 million shares of Sampath Bank generated Rs. 659 million, NTB saw 4.2 million of its shares trading for Rs. 373 million and HNB accounting for Rs. 300.5 million on trade of 0.7 million shares. Commercial Bank also saw 0.8 million shares traded. Among trades were two major crossings for 3,960,600 shares of Nations Trust Bank at Rs. 88 and 675,000 shares of Hatton National Bank at Rs. 408.

“Banking sector counters continued to attract investor attention with Sampath Bank seeing institutional play whilst high net worth interest was evident in Hatton National Bank and Nations Trust Bank,” Asia Securities said.

NDB Stockbrokers said “Indices continued to decline while the market turnover was boosted by an internal transaction related to the controlling stake of LB Finance. Bearish sentiment may continue this week.”

ASPI and MPI were down by 0.8% whilst the number of trades was relatively low at 9,290. Foreign investors were active with a total turnover of Rs. 1.9 billion though there were net sellers to the tune of Rs. 83 million.