CSE sustains upward momentum

The Colombo stock market yesterday sustained its upward trend amid healthy turnover.

The active S&P SL20 gained by 0.6% and the benchmark ASPI by 0.1%. Turnover was Rs. 1.1 billion involving 33 million shares. Foreigners remained net sellers.

Asia Securities said the ASPI continued its upward trajectory with notable price gains in CALT (+8.9%), CFVF (+1.6%), and FCT (+3.5%). HAYL (+7 points) provided the biggest boost to the ASPI, followed by DFCC (+5 points) and CFIN (+4 points), while RICH (-8 points), BUKI (-3 points) and TKYO (-2 points) came in as the biggest laggards on the ASPI. Overall, 90 stocks recorded price gains during the session while 80 settled with losses.

Investor activity remained steady with market turnover boosted by JKH (Rs. 130m), LFIN (Rs. 112m), CALT (Rs. 104m) and SAMP (Rs. 93m).

Asia also said foreigners recorded a net outflow of Rs. 120 million. Net foreign buying topped in SUN at Rs. 1.2 million and selling topped in JKH at Rs. 43.2 million.

First Capital said the bourse ended in the green for the 7th consecutive session with a 19 point increase as investor participation increases. ASPI peaked at the start of session and maintained that position throughout the rest of the day, ending the day at 10,547 as increased buying interest was observed on banking and blue chip counters, with HAYL, DFCC and HHL being a few of the largest contributors.

With the further fall in the yield rates of bills and bonds, primary dealer counters such as CALT saw keen buying interest. Turnover was 19% lower than the month’s average of Rs. 1.3 billion, however, a relatively large retail presence was observed as more investors were participating in the market following Wednesday’s 2 year high turnover of Rs. 12.2 billion.

NDB Securities said high net worth and institutional investor participation was noted in John Keells Holdings, Sampath Bank and LB Finance. Mixed interest was observed in Melstacorp, Distilleries and Expolanka Holdings while retail interest was noted in Browns Investments, Capital Alliance and First Capital Holdings.

The Diversified Financial sector was the top contributor to the market turnover (due to LB Finance and Capital Alliance) while the sector index gained 0.82%. The share price of LB Finance closed flat at Rs 61. The share price of Capital Alliance moved up by Rs 4.30 to Rs 52.40.

The Food, Beverage & Tobacco sector was the second highest contributor to the market turnover (due to Melstacorp) while the sector index edged down by 0.07%. The share price of Melstacorp appreciated by 50 cents to Rs 84.

John Keells Holdings and Sampath Bank were also included among the top turnover contributors. The share price of John Keells Holdings increased by one Rupee to Rs 184. The share price of Sampath Bank recorded a gain of 10 cents to Rs 72.