• LOFC generates Rs. 2.26 b turnover with 80 m shares traded

The Colombo stock market yesterday failed to sustain its positive run as both indices closed negatively though turnover improved.

The All Share Price Index lost 101 points or 0.75% and the S&PSL20 shed 13 points or 0.3%. Turnover was Rs. 7 billion (up from Rs. 5.5 billion on Wednesday) involving 255.6 million shares.

Asia Securities said the indices trended downwards throughout the session dragged by price declines in index-heavy counters EXPO (-0.9%), SFCL (-9.0%), CLC (-2.8%), LOLC (-0.7%) and SHL (-5.6%). However, sharp price gains in JAT (+17.6%), GLAS (+14.2%), TKYOX (11.9%) and TKYON (+7.0%) supported retail and HNI buying momentum during the session. It said LOFC topped activity (Rs. 2,261mn) boosted by 56 crossings executed in the stock at a turnover Rs. 1,540mn. Overall, 76 stocks recorded price gains while 152 closed lower.

Asia also said foreigners recorded a net outflow of Rs. 115.7mn while their participation remained flat at 2.2% of turnover (previous day 2.8%). Net foreign buying topped in HAYL at Rs. 38mn while selling

topped in TJL at Rs. 57.6mn.

First Capital said the Bourse closed in the red territory after continuous gains as investors proceeded to book profits following the policy rate hike of CBSL. 

“The Index opened on a positive note but plunged steeply within the initial half hour as a selling spree emerged. However, the index recouped with modest retail participation but failed to hold on and dipped further and closed for the day at 13,361,” First Capital said adding turnover was led by a joint contribution of 58% from the Diversified Financials sector and Materials sector. 

NDB Securities said the ASPI closed in red as a result of price losses in counters such as Expolanka Holdings, Senkadagala Finance and Commercial Leasing & Finance.

It said high net worth and institutional investor participation was noted in Lanka Orix Finance, Melstacorp and Hayleys. Mixed interest was observed in Access Engineering, Tokyo Cement Company non voting and Expolanka Holdings whilst retail interest was noted in Jat Holdings, Browns Investments and SMB Leasing non voting. 

Diversified Financials sector was the top contributor to the market turnover (due to Lanka Orix Finance) whilst the sector index lost 1.54%. The share price of Lanka Orix Finance decreased by 10 cents (0.35%) to close at Rs 28.60. Materials sector was the second highest contributor to the market turnover (due to Jat Holdings and Tokyo Cement Company non-voting) whilst the sector index increased by 3.32%. 

The share price of JAT Holdings gained Rs 4.60 (17.62%) to close at Rs 30.70. The share price of Tokyo Cement Company non-voting recorded a gain of Rs 5.80 (11.86%) to close at Rs 54.70.

Access Engineering and Browns Investments were also included amongst the top turnover contributors. The share price of Access Engineering moved up by Rs 1.90 (5.51%) to close at Rs 36.40. The share price of Browns Investments closed flat at Rs 16.80.

Monetary policy tightening cycle continues; bond market remains dull