Bull run persists at CSE; ends week with 4% gain

Saturday, 14 December 2024 00:35 - - {{hitsCtrl.values.hits}}

The bull run at the Colombo stock market persisted yesterday and ended the week a 4% gain amidst high turnover.

During the week, the ASPI gained by 4.3% and the S&P SL 20 by 4.5%. Turnover averaged Rs. 5.66 billion.

Yesterday the ASPI gained by 1.2% and the S&P SL20 by 1.7%. Turnover was Rs. 6.15 billion involving 188 million shares. Turnover was dominated by Hemas (Rs. 427.4 million), HNB (Rs. 416 million), LMF (Rs. 394 million), JKH (Rs. 231.6 million) and Alumex (Rs. 230 million).

First Capital said the Colombo Bourse continued its strong bullish momentum, driven by robust participation from both retail and HNW investors. Almost every sector experienced price gains, with investor sentiment particularly focused on the Banking, Food, Beverage and Tobacco, and selected Construction sector counters. Accordingly, the index gained 170 points and closed the week at 14,205, soaring into new heights.

SINS, MELS, HNB, CFIN, and SAMP emerged as the top positive contributors to the index. Amidst multiple off-board transactions and increased participation from retail investors, turnover marked an increase of 40.3%, from the monthly average. The Capital Goods sector led the turnover by 25%, followed by the Banking and Food, Beverage and Tobacco sectors jointly contributing 40% of the overall turnover. Foreign investors remained net buyers, with a net inflow of Rs. 126.4 million.

NDB Securities said the ASPI closed in green as a result of price gains in counters such as Ceylinco Insurance, Melstacorp and Hatton National Bank.

High net worth and institutional investor participation was noted in Hemas Holdings, Hatton National Bank and Melstacorp. Mixed interest was observed in Lanka Milk Foods, Alumex and Commercial Bank whilst retail interest was noted in SMB Leasing, HNB Finance and Co-Operative Insurance Company.

The Capital Goods sector was the top contributor to the market turnover (due to Hemas Holdings and John Keells Holdings) whilst the sector index gained 0.68%. The share price of Hemas Holdings increased by Rs. 1.30 to Rs. 92. The share price of John Keells Holdings closed flat at Rs. 21.40.

The Banking sector was the second highest contributor to the market turnover (due to Hatton National Bank) whilst the sector index increased by 1.65%. The share price of Hatton National Bank gained Rs. 5.75 to Rs. 254.75.

Lanka Milk Foods and Alumex were also included amongst the top turnover contributors. The share price of Lanka Milk Foods moved up by Rs. 2.50 to Rs. 38.60. The share price of Alumex appreciated by Rs. 1.10 to Rs. 14.20.