Colombo stock market manages to post modest gain

The Colombo stock market yesterday managed to close on the up though marginally in a welcome move with satisfactory turnover.

The benchmark ASPI gained by 3.6 points and the active S&P SL20 by 0.47 points. Turnover was Rs. 1.03 billion involving 29 million shares.

First Capital said the broader market regained momentum during the day as it eased on the green zone after 4 consecutive sessions on the red. Both indices recorded positively whilst the ASPI gained 4 points closing at 10,575.

RCL, NDB and AHPL further strengthened the index whilst selected banking sectors shares and blue-chip companies exerted negative pressure.

Turnover was 23.5% higher than the month’s average. COMB, JKH and NTB witnessed comparatively larger trades during the day on the back of heightened HNW investor participation whilst retail participation remained subdued. Banking sector contributed 54% of the turnover whilst Capital Goods and Food, Beverage and Tobacco sectors jointly contributed 33% to the overall turnover.  Foreign investors turned net sellers recording a net outflow of Rs. 17.6Mn amidst low participation.

NDB Securities said the ASPI edged up as a result of price gains in counters such as Royal Ceramics, National Development Bank and Asian Hotels and Properties.

High net worth and institutional investor participation was noted in John Keells Holdings, Commercial Bank and Sierra Cables. Mixed interest was observed in Nations Trust Bank, Hatton National Bank and Ceylon Grain Elevators whilst retail interest was noted in Industrial Asphalts, Dialog Axiata and Browns Investments.

The Banking sector was the top contributor to the market turnover (due to Commercial Bank, Nations Trust Bank and Hatton National Bank) whilst the sector index edged up by 0.07%. The share price of Commercial Bank decreased by 40 cents to Rs. 80. The share price of Nations Trust Bank moved down by 50 cents to Rs. 105. The share price of Hatton National Bank appreciated by 50 cents to Rs. 157.50.

The Capital Goods sector was the second highest contributor to the market turnover (due to John Keells Holdings and Sierra Cables) whilst the sector index edged up by 0.11%. The share price of John Keells Holdings closed flat at Rs. 161. The share price of Sierra Cables recorded a loss of 10 cents to Rs. 9.80.