• Turnover and ASPI soar to 6-week high; YTD net foreign outflow now over Rs. 25 b 

The Colombo bourse began a fresh week on a bullish note with both indices up by near 1% amidst improved turnover. 

The All Share Price Index gained 70 points or 0.95% and the S&P SL20 rose by 0.78% or 23 points. Turnover was Rs. 3.3 billion with 119.5 million shares traded. In the month of May, ASPI gained 195.24 points or 2.71%, while the S&P SL20 gained 109.56 points or 3.82%. Turnover averaged Rs. 2.05 billion. Market P/E was 14.22.

On the flip side, foreigners continue to sell out. Net foreign outflow crossed the Rs. 25-billion-mark year-to-date (YTD) after yesterday’s net selling of Rs. 353 million.

First Capital said the bourse spurred a bullish sentiment by settling in the green terrain, sustaining the upward streak for the fourth consecutive session with ASPI posting an almost six-week high record. 

“The index started to gradually accelerate followed by a pull back during mid-day, reaching 7,366 and thereafter, resumed its upward trajectory over the latter part of session while closing at 7,403; gaining 70 points,” First Capital added. 

It said turnover hit the highest level since almost six weeks and was dominated by the Capital Goods sector followed by the Materials sector, accounting for a joint contribution of 63%. 

Asia Securities said indices trended upwards following market open, however witnessed a brief period of decline. Following this, the indices recovered sharply and closed in green for the fourth-consecutive session with the ASPI reaching a five-week high. 

Retail active counters such as RCL, LWL and LOLC witnessed price gains while activity in John Keells Holdings (JKH) was dominated by block trades. 

Asia said Capital Goods, Materials, Diversified Financials and Food, Beverage and Tobacco sectors led activity, collectively accounting for 84.3% of turnover. 

Foreigners recorded a net outflow of Rs. 352.8 million while their participation declined to 7.5% of turnover (previous day 18.8%). Estimated net foreign buying topped in SAMP.N at Rs. 32 million and net foreign selling topped in JKH at Rs. 313.2 million. 

NDB Securities said the ASPI closed in green as a result of price gains in counters such as LOLC Holdings, JKH and Asiri Hospital Holdings.

It said high net worth and institutional investor participation was noted in JKH. Mixed interest was observed in Lanka Aluminium Industries, Lanka Walltiles and Dipped Products, whilst retail interest was noted in Industrial Asphalts, Royal Ceramics and Browns Investments. 

The Capital Goods sector was the top contributor to the market turnover (due to Royal Ceramics, JKH and Lanka Walltiles), whilst the sector index gained 1.86%. The share price of Royal Ceramics increased by Rs. 1.40 (3.65%) to close at Rs. 39.80. The share price of JKH gained Rs. 2.50 (1.82%) closing at Rs 140.00, whilst foreign holdings decreased by 2,237,321 shares. The share price of Lanka Walltiles moved up by Rs. 6.80 (11.95%) to close at Rs. 63.70.

The Materials sector was the second highest contributor to the market turnover (due to Dipped Products), whilst the sector index decreased by 0.33%. The share price of Dipped Products declined by Rs. 1.10 (2.08%) to close at Rs. 51.80.

LOLC Holdings was also included amongst the top turnover contributors. The share price of LOLC Holdings recorded a gain of Rs. 11.75 (3.47%) to close at Rs. 350.

Separately, Central Industries and Diesel and Motor Engineering announced their first and final dividends of Rs. 2 and Rs. 12.50 per share respectively, while People’s Insurance and Royal Ceramics announced their final dividends of Rs. 3 and Rs. 1.20 per share respectively.

CSE says stock market buoyant with 9.3% gain YTD