CSE draws over Rs. 300 m net foreign inflow as locals take break

Thursday, 10 October 2024 02:13 - - {{hitsCtrl.values.hits}}

The Colombo stock market saw a net foreign inflow of over Rs. 300 million as local investors took a breather amidst low trading.

The benchmark ASPI declined by 19 points and the active S&P SL20 by two points. Turnover was Rs. 2.1 billion involving 73 million shares.

Foreigners recorded a net inflow of Rs. 339.1 million, with net buying most in JKH at Rs. 268.6 million.

Asia Securities said the indices edged lower due to mixed performances in front-line counters. DIAL (+5.3%), CCS (+3.6%), and JKH (+2.3%) closed higher while HAYL (-1.9%), SAMP (-1.0%), and COMB (-0.5%) ended in the red during the session. JKH (+16 points) ended as the major driver of the ASPI while SAMP (-6 points), HAYL (-6 points), and DFCC (-4 points) were the biggest laggards on the index. The breadth of the market was negative with 83 price gainers and 97 decliners.

Turnover was led by JKH (Rs. 458 million), CDBN (Rs. 305 million), and SAMP (Rs. 106 million).

First Capital said the Colombo bourse experienced a downturn during the trading session as investors booked profits, leading to mixed sentiments among investors. The ASPI started the day on a bullish note; and, however, selling pressure emerged after the first thirty minutes of trading, particularly in the Banking sector and blue-chip stocks. Even though the market recovered instantly over 35 points in the last 15 minutes, the index failed to sustain the positive momentum of the previous three trading sessions as the market turned red, reaching 12,152, losing 19 points.

The Banking sector counters SAMP and DFCC, coupled with blue-chip and finance stocks, namely HAYL, LOLC, and SPEN contributed negatively to the index. On a positive note, AGPL witnessed a 9.8% price upside following its dividend announcement today. Notably, the market witnessed strong activity on JKH backed by healthy foreign participation amidst improving investor confidence arising from the potential completion of the external debt restructuring.

Turnover witnessed a significant upturn from the previous day on the back of three off-board transactions, despite the lower retail participation compared to previous sessions.

NDB Securities said high net worth and institutional investor participation was noted in Citizens Development Business Finance, John Keells Holdings, and Hatton National Bank. Mixed interest was observed in Sampath Bank, Commercial Bank, and Dialog Axiata whilst retail interest was noted in SMB Leasing, Waskaduwa Beach Resort, and Softlogic Capital.

The Capital Goods sector was the top contributor to the market turnover (due to John Keells Holdings) whilst the sector index gained 1.01%. The share price of John Keells Holdings increased by Rs. 4.50 to Rs. 198.25.

The diversified Financials sector was the second highest contributor to the market turnover (due to Citizens Development Business Finance) whilst the sector index decreased by 0.79%. The share price of Citizens Development Business Finance closed flat at Rs 202.75.

Sampath Bank, Commercial Bank, and Dialog Axiata were also included amongst the top turnover contributors. The share price of Sampath Bank moved down by 80 cents to Rs. 81.40. The share price of Commercial Bank recorded a loss of 50 cents to Rs. 106.50. The share price of Dialog Axiata appreciated by 50 cents to Rs. 10.