CSE remains bearish

Thursday, 30 July 2020 00:00 - - {{hitsCtrl.values.hits}}

The Colombo stock market remained bearish for the second consecutive day though there was a marginal improvement in turnover.

Acuity Stockbrokers said the bourse ended on a negative note as the ASPI decreased by 0.11% or 5.70 points to close at 5,094.00 points, while the S&P SL20 Index also decreased by 0.38% or 8.34 points to close at 2,163.09.

Turnover increased by 4.4% relative to Tuesday to Rs. 0.83 billion while the crossings for the day amounted to 16.8% of the day’s total turnover.

Foreign investors recorded a net outflow of Rs. 0.20 billion as against a net outflow of Rs. 0.18 billion recorded on Tuesday.

First Capital said mixed activities by the retailers and High Net Worth Individuals (HNWIs) drove the market to the negative zone for the second consecutive session.

“After experiencing a slight dip within the first 30 minutes of trading market witnessed a sideways volatile movement during mid-day. Within the last 15 minutes of trading market recorded a drop due to the selling pressure in CTHR and closed at 5,094 losing five points,” it added.

Parcel trades boosted the turnover contributing 18%, while the Banking counters continued its dominating stance. Market recorded moderate foreign participation dominated by the selling side resulting in a net outflow, First Capital said. NDB Securities said the ASPI edged down as a result of price losses in counters such as C T Holdings, Dialog Axiata and John Keells Holdings.

High net worth and institutional investor participation was noted in Sampath Bank, Hemas Holdings, Commercial Bank and East West Properties. Mixed interest was observed in LOLC Holdings and Dialog Axiata, whilst retail interest was noted in Tokyo Cement Company non-voting and First Capital Holdings. Furthermore, foreigners remained active closing as net sellers mainly due to foreign selling in Dialog Axiata. The Banking sector was the top contributor to the market turnover (due to Sampath Bank and Commercial Bank), whilst the sector index lost 0.40%. The share price of Sampath Bank decreased by Rs. 1.00 (0.82%) to close at Rs. 121.40, while the share price of Commercial Bank lost Rs. 0.50 (0.68%) to close at Rs. 73.50.

Capital Goods sector was the second highest contributor to the market turnover whilst the sector index edged up by 0.06%.

LOLC Holdings, Dialog Axiata and East West Properties were also included amongst the top turnover contributors. The share price of LOLC Holdings moved up by Rs. 1.70 (1.37%) to close at Rs. 126.20 while the share price of Dialog Axiata recorded a loss of Rs. 0.20 (1.77%) closing at Rs. 11.10 whilst foreign holdings decreased by 5,484,197 shares. Moreover, the share price of East West Properties appreciated by Rs. 0.70 (5.74%) to close at Rs. 12.90.