CSE manages to stay up amidst lacklustre investor sentiment

The Colombo stock market managed to stay on the up yesterday despite low investor activity.

The benchmark ASPI gained by over 8 points and the active S&P SL20 inched up by over 4 points. Turnover was Rs. 1.2 billion involving 71.7 million shares.

Asia Securities said the indices closed marginally higher after a positive first half as investors opted to book profits in the counters which saw sharp price increases in the previous session. GLAS (-5.1%), TKYON (-3.9%), TKYOX (-3.6%), CALT (-2.9%), SUN (-2.0%), ACL (-1.7%), PACK (-1.2%), and DIST (-1.5%) consolidated during the session while HAYL (+2.3%), AEL (+3.4%), AAIC (+3.2%), and SCAP (+1.7%) closed higher on retail buying. 

Asia said the ASPI commenced the session with a gap-up of 68 points and hovered in the range of 9,650-9,660 in early trading. Thereupon, the index declined gradually and settled at 9,597 (+9 points). Overall, 85 stocks ended higher while 86 closed in red. 

Turnover was led by JKH (Rs. 125 million), DIAL (Rs. 86 million), and HAYL (Rs. 69 million). 

Foreigners recorded a net inflow of Rs. 7.8 million. Net foreign buying topped in JKH at Rs. 67.4 million and selling topped in DIAL at Rs. 79.4 million.

First Capital said ASPI and S&P closed the day flat despite reflecting gains during the early hours of trading as profit-taking emerged during the day mainly on banking sector counters and index-heavy weights. The diversified financials counters remained the top contributor to the index and largely led by LOLC. 

On a positive note, Hayleys Group counters witnessed significant investor interest following the dividend announcement. Despite the sharp decline in weekly treasury bill yields across all maturities, treasury counters displayed a notable profit-taking session during the day. 

NDB Securities said high net worth and institutional investor participation remained subdued for the day. Mixed interest was observed in John Keells Holdings, Hayleys and Expolanka Holdings whilst retail interest was noted in SMB Leasing nonvoting, Dialog Axiata and Browns Investments.

The Capital Goods sector was the top contributor to the market turnover (due to John Keells Holdings, Hayleys and Access Engineering) whilst the sector index gained 0.33%. The share price of John Keells Holdings increased by 50 cents to Rs. 144.50. The share price of Hayleys moved up by

Rs. 1.80 to Rs. 79.20. The share price of Access Engineering appreciated by 50 cents to Rs. 15.20.

The Materials sector was the second highest contributor to the market turnover whilst the sector index decreased by 1.26%. Dialog Axiata and Expolanka Holdings were also included amongst the top turnover contributors. The share price of Dialog Axiata lost 10 cents to Rs. 10.50. The share price of Expolanka Holdings recorded a loss of Rs. 2 to Rs. 144.50.