Colombo stock market rebounds

The Colombo stock market bounced back yesterday to positive territory with investor sentiment picking up amidst healthy turnover.

The benchmark ASPI gained by 0.66% and the active S&P SL20 by 0.4%. Turnover was Rs. 2.5 billion involving 

207.6 million shares.

Asia Securities said the indices closed in positive territory for a second consecutive session with retail activity in BIL (+8.8%), LOFC (+5.7%), LOLC (+2.6%), and AGST (+6.5%) providing continued support throughout the session.  The ASPI saw notable movements with BIL (+14 points), HAYL (+10 points), and LOLC (+8 points) driving gains, while MELS (-5 points) and SAMP (-4 points) countered with losses. The breadth of the market was positive with 127 price gainers and 95 decliners.

Turnover was led improved to by BIL (Rs. 400 million), LOFC (Rs. 318 million), and CALT (Rs. 150 million).

Foreigners recorded a net outflow of Rs. 5.8 million. Net foreign buying topped in BIL at Rs. 15.4 million and selling topped in STAF at Rs. 8.4 million.

First Capital said the bourse began the day on a bullish note, driven by enthusiastic participation from retail investors, resulting in the market reaching an intraday high of 12,050 before closing at 11,905, marking a gain of 77 points. Despite the prevailing uncertainties, trading activity showed signs of recovery on the second trading day of the week with increased interest observed on the index heavyweights such as HAYL and LOLC, whilst improved activities were also seen on the mid-cap entities such as BIL and CARG. 

However, slight selling pressure continued to be visible on the banking sector shares, notably on SAMP, NTB, and NDB. The Food, Beverage, and Tobacco sector led turnover at 27%, while Diversified Financials and Capital Goods sectors jointly contributed 37% to turnover. 

NDB Securities said high net worth and institutional investor participation was noted in Sampath Bank, John Keells Holdings, and The Colombo Fort Land & Building. Mixed interest was observed in Browns Investments, LOLC Finance and Capital Alliance whilst retail interest was noted in Amana Bank, Agstar and SMB Leasing.

The Food, Beverage and Tobacco sector was the top contributor to the market turnover (due to Browns Investments) whilst the sector index gained 1.27%. The share price of Browns Investments increased by 50 cents to 

Rs. 6.20.

The Diversified Financials sector was the second highest contributor to the market turnover (due to LOLC Finance and Capital Alliance) whilst the sector index increased by 1.37%. The share price of LOLC Finance gained 40 cents to Rs. 7.40. The share price of Capital Alliance moved down by Rs. 2.40 to 

Rs. 61.30.

CIC Holdings and Central Industries were also included amongst the top turnover contributors. The share price of CIC Holdings recorded a gain of Rs. 2.10 to Rs. 76.20. The share price of Central Industries appreciated by 

Rs. 12.25 to Rs. 134.