CSE ends Friday positive but closes week with losses

The Colombo stock market yesterday managed to stay positive though finishing the week with losses.

The S&P SL20 was up by 0.7% and ASPI by 0.4%. Turnover crossed the Rs. 1 billion mark.

For the week the ASPI lost 209.21 points (-1.82%) during the week while the S&P SL20 lost 65.92 points (-2.03%). Overall, investors adopted a “wait-and-see” approach during the week, awaiting cues from the ongoing IMF review and upcoming budget. As such, turnover averaged Rs. 993 million, declining from Rs. 1,219 million last week.

Asia Securities said on Friday the indices closed higher supported by price gains in JKH (+1.1%), FCT (+5.1%), CALT (+3.2%), EXPO (+1.5%), COMBN (+2.0%), CICX (+1.6%), and BIL (+1.8%). Market turnover came in at Rs. 1.1 billon (previous session-Rs. 1.2 billion) led by off-board transactions in MELS (Rs. 172 million) and WIND (Rs. 76 million). COMBN (+12 points), JKH (+6 points), and SPEN (+5 points) came in as the major contributors to the ASPI during the session. The breadth of the market was positive with 93 price gainers and 77 decliners.

Foreigners recorded a net inflow of Rs. 1.9 million. Net foreign buying topped in CARE.N at Rs. 6.3 million and selling topped in CINS.X at Rs.11.0 million

First Capital said the broad market rebounded positively during the day with an intraday gain of 49 points following the finalisation of the DDO process. Accordingly, the CBSL converted provisional advances to T-Bills and extended maturity for T-Bill worth Rs. 2.4 trillion. Buoyed by external optimism, the index maintained a positive trajectory throughout the day, with investor focus primarily centred on Banks and index heavy weights. Moreover, active collection on CARE.N was witnessed during the day, driven by both foreign and retail participants as the manufacturing sector started to rebound due to pent-up demand after a significant drop in inflation. Despite the market being positive, investors remained on the side-lines displaying thin volumes awaiting clear direction on the interest rates, as the CBSL raised the cut-off rates by over 50bps at the recent T-Bill auction. 

NDB Securities said Hhigh net worth and institutional investor participation was noted in Melstacorp, John Keells Holdings and Windforce. Mixed interest was observed in CIC Holdings, Distilleries and Printcare whilst retail interest was noted in Browns Investments, Softlogic Capital and Industrial Asphalts.

The Food, Beverage and Tobacco sector was the top contributor to the market turnover (due to Melstacorp and Distilleries) whilst the sector index gained 0.74%. The share price of Melstacorp increased by 80 cents to Rs. 86. The share price of Distilleries appreciated by 20 cents to Rs. 27.10.

Capital Goods sector was the second highest contributor to the market turnover (due to John Keells Holdings) whilst the sector index increased by 0.69%. The share price of John Keells Holdings recorded a gain of Rs. 2 to Rs. 190.

Windforce and CIC Holdings were also included amongst the top turnover contributors. The share price of Windforce lost 20 cents to Rs. 18.60. The share price of CIC

Holdings moved up by 60 cents to Rs. 75.70.