Bear run persists at CSE

The bear run at the Colombo stock market persisted amidst lacklustre investor activity given their depressed outlook for equities.

Both indices dipped by around 0.5% whilst turnover was Rs. 575 million involving 33 million shares. Market also saw net foreign outflow.

Asia Securities said the indices closed lower for a fourth consecutive session amidst moderate market activity. JKH (-0.2%), LIOC (-0.8%), LFIN (-2.9%), SUN (-1.0%), HAYL (-1.2%), and LOFC (-2.1%) closed in red while LLUB (+1.3%), CALT (+1.0%), ACL (+1.9%), and BOPL (+6.7%) ended with gains in an otherwise negative session. The breadth of the market was negative with 43 price gainers and 132 decliners.

Turnover was led by JKH (Rs. 78mn), WIND (Rs. 71mn), and MELS (Rs. 58mn).

A net foreign outflow of Rs. 112mn was recorded led by WIND (Rs. 71mn) and JKH (Rs. 55mn).

First Capital said the ASPI closed lower yet another day amidst low volumes as investors displayed lacklustre participation on the back of rising concerns on DDO process which is to spill over into June 2023.

The Index marginally edged higher in the beginning yet remained volatile afterwards as mixed sentiment was observed mainly on Banking and Treasury counters ahead of the 4th Pre-policy review meeting for the year which is scheduled for 1 June 2023. On the other hand, lingering selling pressure on ELPL further dragged the index down as the dividend of Rs. 19 per share reached the XD date.

NDB Securities said high net worth and institutional investor participation was noted in Windforce, John Keells Holdings and Tokyo Cement Company nonvoting. Mixed interest was observed in Melstacorp, Lanka IOC and Expolanka Holdings whilst retail interest was noted in Industrial Asphalts, Browns Investments and LOLC Finance. The Food, Beverage & Tobacco sector was the top contributor to the market turnover (due to Melstacorp) whilst the sector index lost 0.71%. The share price of Melstacorp moved up by 30 cents to Rs 53.

The Capital Goods sector was the second highest contributor to the market turnover (due to John Keells Holdings) whilst the sector index decreased by 0.54%. The share price of John Keells Holdings decreased by 25 cents to Rs 135.75.

Windforce Limited, Lanka IOC and Tokyo Cement Company nonvoting were also included amongst the top turnover contributors. The share price of Windforce Plc gained 10 cents to Rs 16.60. The share price of Lanka IOC recorded a loss of one Rupee to Rs 125.50. The share price of Tokyo Cement Company nonvoting closed flat at Rs 38.

Separately Lanka Walltiles, Lanka Tiles and Swisstek announced a final cash dividend of 90 cents, Rs.1.10 and 20 cents respectively.