Indices’ movements mixed at CSE but turnover improves

The Colombo stock market yesterday saw indices moving to different directions whilst turnover improved suggesting greater investor participation. 

Acuity Stockbrokers said the Bourse ended on a mixed note as the ASPI decreased by 0.01% or 0.30 points to close at 4,917.24 points, while the S&P SL20 Index increased by 0.78% or 15.99 points to close at 2,055.06.

Turnover increased by 25% relative to Wednesday to amount to Rs. 1.65 billion while crossings for the day amounted to 18% of the day’s total turnover. 

Foreign investors recorded a net outflow of Rs. 752.9 million as against Rs. 662.4 million on Wednesday.

First Capital said the Bourse ended in the negative territory reversing the impact seen in the past 3 sessions while the Banking and Diversified financials counters contributed to 78% of the turnover. 

ASPI was dragged down predominantly due to the dip in price of CTC. 

“Index experienced an upward movement and reached its intraday high of 4,951 within the first hour of trading, thereafter recorded a continuous downtrend and hit its intraday low of 4,909 before closing at 4,917 merely losing 0.3 points,” First Capital said. 

Turnover for the session was boosted by the parcel trades made in SAMP, COMB.X & COMB. The market continued to witness a high foreign participation dominated by the selling side resulting in a net outflow, it added.

NDB Securities said the ASPI edged down as a result of price losses in counters such as Ceylon Tobacco Company, Distilleries and Expolanka Holdings.

High net worth and institutional investor participation was noted in LOLC Holdings, Hatton National Bank and Ceylon Tobacco Company. Mixed interest was observed in Sampath Bank, Commercial Bank and ACL Cables whilst retail interest was noted in Dialog Axiata and Tokyo Cement Company. Furthermore, foreigners remained active closing as net sellers. Total foreign sales accounted for 59.9% of the turnover.

The Banking sector was the top contributor to the market turnover (due to Sampath Bank, Commercial Bank non-voting, Commercial Bank and Hatton National Bank) whilst the sector index gained 0.99%. The share price of Sampath Bank gained Rs. 1.00 (0.93%) to close at Rs. 109.00. The share price of Commercial Bank non-voting moved down by Rs. 0.20 (0.37%) to close at Rs. 54.2 while the share price of Commercial Bank recorded a gain of Rs. 1.90 (2.90%) to close at Rs. 67.40.

Furthermore, the share price of Hatton National Bank appreciated by Rs. 1.40 (1.42%) to close at Rs. 100.00. 

Diversified Financials sector was the second highest contributor to the market turnover (due to LOLC Holdings) whilst the sector index increased by 0.48%. The share price of LOLC Holdings increased by Rs. 1.70 (1.47%) to close at Rs. 117.10.