CSE ends erratic week on the up

The Colombo stock market closed an erratic week on a positive note with improved investor sentiment.

The indices ended higher for the second consecutive week with the ASPI gaining 240.64 points (2.76%) and the S&P SL20 by 90.78 points (3.33%). The average daily turnover was Rs. 1.74 billion.

Asia Securities said the market witnessed a range-bound trading session on Friday as the heavyweights turned in a mixed performance for the day.

Market activity improved with turnover increasing to Rs. 1.9 billion (previous session Rs. 1.2 billion), led by LIOC (Rs. 422 million), EXPO (Rs. 279 million), SCAP (Rs. 195 million), and AAIC (Rs. 153 million).

Notable price gains were recorded by SAMP (+3.8%), EXPO (+2.7%), LIOC (+3.4%), AAIC (+2.2%), and SCAP (+1.9%) while LOLC (-4.2%), LOFC (-1.5%), BIL (-1.4%), and HAYL (-1.0%) ended in red. Meanwhile, TKYO.N and TKYO.X witnessed a strong session, closing with a gain of 6.6% and 9.2% respectively. Overall, 93 stocks ended in green while 87 settled with losses.

Asia also said foreigners recorded a net outflow of Rs. 64.5 million. Net foreign buying topped in TKYO.X at Rs. 13 million and selling topped in HNB.N at Rs. 52.7 million.

First Capital said the bourse reverted to green following the previous day loss as investor interest gradually developed on banking and treasury counters after IMF Executive Director, Dr. Subramanian notified the Prime Minister on Thursday that almost all of the requirements for an IMF relief package is completed and the process will be finalised soon.

The Index moved on a downtrend since market opening but however improved gradually as investor interest on index heavy weights picked up. Eventually ASPI recouped losses of the previous session, led by the contribution from heavy weights and banking sector counters and closed marginally higher at 8,959 gaining 32 points.

NDB Securities said high net worth and institutional investor participation was noted in Hemas Holdings and Melstacorp. Mixed interest was observed in Lanka IOC, Expolanka Holdings and Softlogic Capital whilst retail interest was noted in LOLC Holdings and Browns Investments.

Energy sector was the top contributor to the market turnover (due to Lanka IOC) whilst the sector index gained 2.95%. The share price of Lanka IOC increased by Rs. 7.00 (3.44%) to close at Rs. 210.50.

The insurance sector was the second highest contributor to the market turnover (due to Softlogic Life Insurance) whilst the sector index increased by 0.49%. The share price of Softlogic Life Insurance recorded a gain of Rs. 2.50 (2.20%) to close at Rs. 116.25.

Expolanka Holdings, Softlogic Capital and Hatton National Bank were also included among the top turnover contributors. The share price of Expolanka Holdings gained Rs. 5 (2.68%) to close at Rs. 191.75. The share price of Softlogic Capital moved up by 30 cents to close at Rs. 15.70. The share price of Hatton National Bank appreciated by 60 cents to close at Rs. 84.50.