CSE remains positive on improved turnover

Wednesday, 8 July 2020 00:25 - - {{hitsCtrl.values.hits}}

The Colombo stock market remained positive for the second consecutive day amidst improved turnover.

Acuity Stockbrokers said the Bourse ended on a positive note as the ASPI increased by 0.12% or 5.88 points to close at 5,081.78 points, while the S&P SL20 Index also increased by 1.10% or 24.14 points to close at 2,212.70.

Turnover increased by 16.2% relative to Monday to amount to Rs. 1.71 billion while crossings for the day amounted to 16.6% of the day’s total turnover.

Foreign investors recorded a net outflow of Rs. 0.24 billion, lower compared to Rs. 0.66 billion on Monday.

First Capital said the Bourse ended in the positive territory for the second consecutive session with the upside potential being limited by the price dip in CTC.

“Selling pressure in CTC caused the index to hit its intraday low of 5,076 within the first few minutes of trading. Later the buying interest in JKH and selective banking counters resulted in the index reaching its intraday high of 5,106 during mid-day before witnessing a downtrend during the final hours of trading and closing at 5,082 gaining 6 points,” it said.

First Capital also said parcel trades boosted the turnover contributing 41% of the total. Foreign investors continued to be net sellers recording high participation.

NDB Securities said the ASPI edged up as a result of price gains in counters such as John Keells Holdings, Sampath Bank and Commercial Bank.

It said crossings were witnessed in Tokyo Cement Company non-voting, Commercial Bank, John Keells Holdings, Sampath Bank, Nations Trust Bank and Overseas Reality, accounting for 41.5% of the turnover. Mixed interest was observed in Hemas Holdings whilst retail interest was noted in Hatton National Bank non-voting.

Furthermore, foreigners remained active closing as net sellers. Total foreign sales accounted for 51.0% of the turnover.

NDB Securities said the Banking sector was the top contributor to the market turnover (due to Commercial Bank, Sampath Bank and Nations Trust Bank) whilst the sector index gained 1.47%.

The share price of Commercial Bank increased by Rs. 0.70 (0.92%) to close at Rs. 76.50 while the share price of Sampath Bank recorded a gain of Rs. 4.90 (4.08%) to close at Rs. 124.90 Furthermore, the share price of Nations Trust Bank appreciated by Rs. 0.70 (1.15%) to close at Rs. 61.50.

The Capital Goods sector was the second highest contributor to the market turnover (due to John Keells Holdings and Hemas Holdings) whilst the sector index increased by 1.08%. The share price of John Keells Holdings gained Rs. 2.10 (1.86%) to close at Rs. 114.90 while the share price of Hemas Holdings closed flat at Rs. 60.00.