CSE starts fresh week with bearish sentiments

Tuesday, 27 February 2024 00:08 - - {{hitsCtrl.values.hits}}

The Colombo stock market began a fresh week with bearish sentiments though crossings boosted the turnover.

The benchmark ASPI declined by 0.4% and the active S&P SL20 by 0.2%. Turnover was Rs. 1.65 billion involving 43.5 million shares. Foreigners reverted to being net sellers.

Asia Securities said the indices commenced the week in red dragged by JKH (-1.5%), MGT (-1.9%), SUN (-1.5%), RCL (-1.4%), and NDB (-1.1%). Nevertheless, EXPO (+2.1%), CICX (+1.2%), NTBN (+1.2%) and SAMP (+1.1%) recorded price gains in an otherwise negative session. SAMP (+6 points) and EXPO (+6 points) came in as major index drivers while JKH (-8 points), BUKI (-4 points) and SPEN (-3 points) ended as the biggest laggards on the ASPI. The breadth of the market was negative, with 51 price gainers and 118 decliners.

Turnover was driven by block trades executed in MELS (Rs. 457mn), JKH (Rs. 88mn), and HAYL (Rs. 77mn).

Foreigners recorded a net outflow of Rs. 104.8mn. Net foreign buying topped in DIAL at Rs. 35.2mn and selling topped in EXPO at Rs. 50.1mn.

First Capital said the bourse closed in the red with a large majority of counters showing a bearish sentiment.

It said ASPI slightly increased towards the start of the day but continued on a downward trend throughout the rest of the session ending at a 43 point loss to 10,612. Banking sector counters observed a mixed sentiment with both strong buying and selling presence observed in the market. Consumer sector continued to see increased interest; notably on LMF. Further, EXPO and DIAL saw increased retail participation. High net worth investors constituted a significant portion of the market turnover, with multiple off-board transactions observed to have taken place: notably, 7 such transactions being taken place on MELS valued at Rs. 457Mn.

NDB Securities said crossings were witnessed in Melstacorp, John Keells Holdings and Hayleys, accounting for 43.5% of the turnover. Mixed interest was observed in Expolanka Holdings, Lanka Milk Foods and CIC Holdings nonvoting whilst retail interest was noted in Dialog Axiata, Browns Investments and People›s Leasing & Finance.

The Food, Beverage & Tobacco sector was the top contributor to the market turnover (due to Melstacorp and Lanka Milk Foods) whilst the sector index lost 0.98%. The share price of Melstacorp edged down by 10 cents to Rs. 88.80. The share price of Lanka Milk Foods declined by 20 cents to Rs 24.10.

The Transportation sector was the second highest contributor to the market turnover (due to Expolanka Holdings) whilst the sector index increased by 2.08%. The share price of Expolanka Holdings gained Rs 3 to Rs 146.75.

John Keells Holdings and Hayleys were also included amongst the top turnover contributors. The share price of John Keells Holdings moved down by Rs 3 to Rs 191. The share price of Hayleys recorded a loss of 10 cents to Rs 76.50.

Separately Vallibel Power Erathna and Lanka Milk Foods announced their dividends of Rs 1.75 and 63 cents per share respectively.