CSE begins fresh week on negative note

The Colombo stock market began a fresh week on a negative note amidst lacklustre investor interest.

Both indices were down by 0.6% and the turnover was only Rs. 1.1 billion involving 40.6 million.

Asia Securities said the market commenced the week on a subdued note due to price losses in banking counters. COMBN (-2.5%), NDB (-3.9%), NTBN (-2.2%), and SAMP (-1.5%) ended in red while front-line stocks CALT (-3.5%), FCT (-4.5%), and MGT (-1.6%) added further pressure on the indices during the session. Nevertheless, JKH (+1.2%), AHPL (+3.3%), ACL (+2.1%), LION (+4.2%), and KCAB (+1.4%) saw renewed buying interest.

COMBN (-17 points), SAMP (-10 points), and NDB (-8 points) came in as the biggest laggards on the ASPI. Overall, 65 stocks ended in green while 111 settled with losses.

Turnover was led by CONN (Rs. 113 million), CDBN (Rs. 78 million), and JKH (Rs. 65 million).

Foreigners recorded a net inflow of Rs. 6.9 million. Net foreign buying topped in DIST.N at Rs. 9.9 million and selling topped in GLAS.N at Rs. 6.5 million.

First Capital said the bourse reversed to the red and partially wiped off gains of the previous session over extended profit booking on Banks while volumes remained thin. The Food, Beverage and Tobacco sector experienced a slight profit booking, contributing to the overall dip in the index. Consequently, the index closed in the red at 11,387 losing 79 points. However, with the approaching peak season, bullish sentiment remained strong on hotel sector counters with higher investor participation observed on AHPL and CONN while tourism earnings surpassed $ 1.3 billion indicating a solid revival. 

NDB Securities said high net worth and institutional investor participation were noted in Citizens Development Business Finance, John Keells Holdings and Serendib Hotels. Mixed interest was observed in Amaya Leisure, Lanka IOC and Capital Alliance whilst retail interest was noted in Browns Investments, Lanka Credit & Business Finance and Asia Asset Finance. 

The Consumer Services sector was the top contributor to the market turnover (due to Hayleys Leisure and Serendib Hotels) whilst the sector index gained 0.68%. The share price of Hayleys Leisure increased by 90 cents to Rs. 26.80. The share price of Serendib Hotels recorded a loss of 10 cents to Rs. 14.90.

The Capital Goods sector was the second highest contributor to the market turnover (due to John Keells Holdings) whilst the sector index increased by 0.52%. The share price of John Keells Holdings moved up by Rs. 2.25 to Rs. 189.75.

Citizens Development Business Finance and Lanka IOC were also included among the top turnover contributors. The share price of Citizens Development Business Finance lost Rs. 2.25 to Rs. 186.75. The share price of Lanka IOC appreciated by one rupee to Rs. 120.