The Colombo stock market headed further south yesterday as investors remained wary and inactive amidst the festive season.

The active S&P SL20 declined by 0.7% and the benchmark ASP by 0.6%. Turnover was Rs. 566.5 million involving 36.8 million shares.

Asia Securities said the market ended the session with subdued momentum with price losses in NDBN (-1.2%), DIAL (-2.2%), HAYL (-3.1%), CFVF (-3.0%), and ACL (-1.4%) dragging down the ASPI. However, AEL (+1.1%) and AAIC (+1.6%) recorded price gains amidst low levels of activity. 

MELS (-7 points), HAYL (-6 points), and HNBN (-5 points) ended as the major laggards during the session.

Turnover was led by EXPO (Rs. 44 million), KOTA (Rs. 41 million), and SAMP (Rs. 37 million). 

Foreigners recorded a net outflow of Rs. 12.4 million. Net foreign buying topped in SAMP.N at Rs. 13.9 million and selling topped in EXPO at Rs. 17.8 million.

First Capital said the Bourse continued to descend and closed the day lower as investors remained side-lined amid uncertainty surrounding external debt restructuring.

It said the index initially displayed a gradual side-line, with a slight recovery observed post mid-day. However, the market failed to sustain the upward movement due to inflated selling pressure on blue chip counters, mainly MELS, HAYL, and JKH, resulting in a closing of 10,612, losing 61 points. With the Christmas holiday approaching, market activities remained subdued as turnover remained 35% lower from month’s average daily turnover of Rs. 865.3 million. Notably, the Food, Beverage & Tobacco sector accounted for 19% of turnover, while Banking and Capital Goods sectors each contributed 17%.

NDB Securities said the high net worth and institutional investor participation was noted in Kotagala Plantations and John Keells Holdings. Mixed interest was observed in Expolanka Holdings, Sampath Bank and Commercial Bank whilst retail interest was noted in Browns Investments, Industrial Asphalts and Alumex.

The Food, Beverage & Tobacco sector was the top contributor to the market turnover (due to Kotagala Plantations) whilst the sector index lost 0.57%. The share price of Kotagala Plantations closed flat at Rs. 6.

The Banking sector was the second highest contributor to the market turnover (due to Sampath Bank and Commercial Bank) whilst the sector index decreased by 0.46%. The share price of Sampath Bank moved down by 20 cents to Rs. 71. The share price of Commercial Bank closed flat at Rs. 93.90.

Expolanka Holdings and John Keells Holdings were also included amongst the top turnover contributors. The share price of Expolanka Holdings decreased by 25 cents to Rs. 138.75. The share price of John Keells Holdings recorded a loss of one Rupee to Rs. 189.50.

Separately, Central Finance Company declared a first interim dividend of Rs. 2.50 per share.

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