CSE starts new week marginally up

The Colombo stock market yesterday commenced the week on a positive note as retail favourites continued to strengthen over improved sentiment.

The active S&P SL20 index gained by 0.1%, and the benchmark ASPI by 0.2% yesterday. Turnover was Rs. 1.63 billion involving 67.5 million shares. On Friday the market closed on a negative due to profit taking after a nine-day winning streak.

Foreigners recorded a net outflow of Rs. 6.9 million yesterday with Richard Pieris seeing most net selling worth Rs. 5 million, whilst buying topped in FCT at Rs. 2.7 million.

With yesterday’s net selling, the amount so far in December is Rs. 3.8 billion and the year-to-date figure remained at Rs. 21.4 billion.

First Capital Research said the index started on a solid footing yet gradually witnessed a sideways movement as investor activity slowed down ahead of the upcoming holiday season. Despite recording lower volume, the market managed to sustain the positive momentum and closed the day at 8,863, gaining 19 points.

It also said, treasury counters witnessed a substantial gain during the day as investors speculated rates to ease in the upcoming largest value issue of the T-Bond auction of Rs. 160 billion, which is scheduled to be held today (13).

Asia Securities said the diversified financials, transportation, energy and capital goods sectors led activity, collectively accounting for 76.2% of turnover.

NDB Securities said the high net worth and institutional investor participation was noted in Richard Pieris and Company and John Keells Holdings.

It said mixed interest was observed in Expolanka Holdings, Lanka IOC and First Capital Holdings whilst retail interest was noted in Browns Investments, First Capital Treasuries and SMB Leasing nonvoting. Foreign participation in the market activity remained at subdued levels with foreigners closing as net sellers.

Diversified Financials sector was the top contributor to the market turnover (due to First Capital Treasuries and First Capital Holdings) whilst the sector index gained 1.35%. The share price of First Capital Treasuries moved up by Rs. 4.40 (18.72%) to close at Rs. 27.90. The share price of First Capital

Holdings recorded a gain of Rs. 5.80 (20.42%) to close at Rs. 34.20.

Transportation sector was the second highest contributor to the market turnover (due to Expolanka Holdings) whilst the sector index increased by 1.47%. The share price of Expolanka Holdings increased by Rs. 3.00 (1.48%) to close at Rs. 206.25.

Lanka IOC and Browns Investments were also included amongst the top turnover contributors. The share price of Lanka IOC gained Rs. 6.00 (2.74%) to close at Rs. 225.25. The share price of Browns Investments closed flat at Rs. 8.10.