Stock market negative as indices turn volatile; ASPI ends June up 5.87%

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The Colombo stock market remained negative on a volatile day for the indices whilst turnover slipped as investors remained concerned over macro issues.

The All Share Price Index dipped by 19 points, or 0.24%, while the S&PSL20 declined by 1.16% or 35 points. Turnover was Rs. 1.7 billion involving 87 million shares.

Despite the recent dip, the Colombo bourse closed June with a positive growth in terms of the ASPI, which gained by 5.87%. The S&P SL20 however declined by 0.35%. Average turnover was Rs. 2.21 billion. 

First Capital said the bourse concluded the session in the red zone for the second consecutive day, amid substantial volatility of 248 points prevailing in the market on the back of illiquid counters. 

“ASPI rocketed to an intraday high at 7,946, surpassing the 7,900 milestone within the first few minutes of trading, and subsequently reversed investor optimism plummeting to an intraday low at 7,698 during mid-day. Following that, the index made a volatile recovery and moved sideways over the latter part of session, closing at 7,838,” First Capital said.

It said turnover was led by the Capital Goods sector followed by the Diversified Financials sector, collectively accounting for a total contribution of 36%. 

Asia Securities said the market witnessed a volatile session as the ASPI commenced the session on a positive note surpassing the 7,900 mark and gained around 87 points before witnessing a steep decline to 7,708. Following this the index picked up by 130 points, led by price gains in index-heavy counters such as NIFL and EXPO. 

Turnover remained at moderate levels, led by retail and HNI activity in BIL, EXPO and LOLC. 

Capital Goods, Diversified Financials, Banks, and Food, Beverage & Tobacco sectors led activity, collectively accounting for 66.2% of turnover. 

Asia said foreigners recorded a net outflow of Rs. 61 million while their participation increased to 4.6% of turnover (previous day 1%). Estimated net foreign buying topped in HNB.N at Rs. 33.4 million and net foreign selling topped in JKH.N at Rs. 43.4 million.

NDB Securities said the ASPI closed in red as a result of price losses in counters such as LOLC Holdings, Nestle Lanka and Commercial Bank.

It said high net worth and institutional investor participation was noted in Hayleys and Expolanka Holdings. Mixed interest was observed in Browns Investments, LOLC Holdings and John Keells Holdings, whilst retail interest was noted in Dipped Products, Royal Ceramics and LB Finance. 

The Capital Goods sector was the top contributor to the market turnover (due to John Keells Holdings), whilst the sector index lost 0.74%. The share price of John Keells Holdings recorded a loss of Rs. 0.25 (0.18%) closing at Rs. 135.25, while foreign holdings decreased by 320,715 shares.

The Diversified Financials sector was the second highest contributor to the market turnover (due to LOLC Holdings), with the sector index increasing by 2.02%. The share price of LOLC Holdings moved down by Rs. 7.25 (1.80%) to close at Rs. 394.50.

Browns Investments, Expolanka Holdings and Hatton National Bank were also included amongst the top turnover contributors. The share price of Browns Investments decreased by Rs. 0.10 (1.67%) to close at Rs. 5.90. The share price of Expolanka Holdings gained Rs. 0.30 (0.60%) to close at Rs. 50.10. The share price of Hatton National Bank declined by Rs. 1.50 (1.11%) to close at Rs. 134.

Furthermore, Panasian Power, Prime Lands Residencies and Hatton Plantations announced their interim dividends of Rs. 0.14, Rs. 0.40 and Rs. 0.50 per share respectively. Printcare and Malwatte Valley Plantations announced their final dividends of Rs. 1 and Rs. 0.10 per share respectively.


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