Bourse bulldozes beyond ASPI 6,000 point-level

• CSE maintains super September momentum with benchmark index up by near 3%
• Sharp rise in Carsons and Bukit Darah share price account for bulk of ASPI’s gain
• Expolanka and Hemas lead in turnover

The Colombo stock market turned bullish yesterday, sustaining the super September momentum, as the benchmark All Share Price Index (ASPI) shot up by near 3% to cross the 6,000-point threshold. 

The Daily FT yesterday predicted that the ASPI was likely to move to positive territory year-to-date. It was 4.4% negative on Friday whilst after yesterday’s gain it has been reduced to 1.65%.

The ASPI has shot up by 36% since the market’s reopening in mid-May following the COVID-19-induced shutdown.

Yesterday’s gain was powered by increase in Carsons’ and Bukit’s share price which contributed to 49.3% and 48.8% respectively to the ASPI’s increase. Bukit saw its share price gain by Rs. 208 or 70% to Rs. 505.70 on a volume of 21,404 whilst Carsons’ share price gained by Rs. 109 or 43% to Rs. 364.70 on a volume of 25,122 shares.

Acuity Stockbrokers said the bourse ended on a positive note as the ASPI increased by 2.89% or 169.16 points to close at 6,028.20 points, while the S&P SL20 Index also increased by 0.55% or 13.64 points to close at 2,495.72.

Turnover decreased by 21.8% relative to Friday to Rs. 1.9 billion while the crossings amounted to 1.3% the day’s total turnover. 

Foreign investors, meanwhile, recorded a net outflow of Rs. 79.4 million as against Rs. 358 million on Friday.

First Capital said: “Super September drive bulldozed the market passed the 6,000 psychology level, recording a near nine-month high sustaining the positive sentiment for the third consecutive session. Index experienced a spike, followed by a sideways movement during the first hour of trading. Later market recorded a continuous uptrend due to the buying interest in Carsons and Bukit Darah and closed at 6,028 with an advance of 169 points,” First Capital added.

It said turnover was led by Capital Goods and Material counters contributing 32%. Foreign investors continued to be net-sellers while recording low participation.

NDB Securities said the ASPI closed in green as a result of price gains in counters such as Carson Cumberbatch, Bukit Darah and Nestle Lanka.

It said high net worth and institutional investor participation was noted in Hemas Holdings and Hatton National Bank.

Mixed interest was observed in Expolanka Holdings, Tokyo Cement Company and Hayleys Fabric, whilst retail interest was noted in Richard Pieris & Company, Ceylon Investment and Dankotuwa Porcelain. Capital Goods sector was the top contributor to the market turnover (due to Hemas Holdings), whilst the sector index gained 2.09%. The share price of Hemas Holdings gained Rs. 5.20 (7.22%) to close at Rs. 77.20. 

Materials sector was the second highest contributor to the market turnover (due to Tokyo Cement Company), whilst the sector index increased by 0.44%. The share price of Tokyo Cement Company moved down by Rs. 1.60 (2.99%) to close at Rs. 52.00.

Expolanka Holdings, Hayleys Fabric and Lanka IOC were also included amongst the top turnover contributors. The share price of Expolanka Holdings decreased by Rs. 0.20 (1.79%) to close at Rs. 11.00. Furthermore, the share price of Hayleys Fabric recorded a gain of Rs. 0.70 (3.10%) to close at Rs. 23.30, whilst, the share price of Lanka IOC closed flat at Rs. 26.50.