CSE reverts to negative territory

The Colombo stock market yesterday reverted to negative mode proving Friday’s gain was an aberration.

The active S&P SL20 dipped by 0.5% and the benchmark ASPI by 0.4%. Turnover was Rs. 590.6 million involving 25.89 million shares.

On Friday, ending 12 days of decline, the market gained ASPI by 0.6% and the S&P SL20 by 0.9% renewing hope of investors that the negative run is over. Year to date ASPI is down by 3.3% and the S&P SL20 by 5%

Asia Securities said the indices commenced the week in red dragged by price losses in CALT (-3.8%), MELS (-2.1%), BIL (-2.3%), TKYON (-1.1%), and RCL (-1.1%). 

Investor buying interest was witnessed in TKYOX (+4.1%), DIAL (+2.3%), LWL (+1.3%), AEL (+1.1%), and ACL (+1.5%). HNB (-8 points), MELS (-8 points), SPEN (-7 points) and DFCC (-5 points) ended as the biggest laggards on the ASPI whereas DIAL (+3 points) ended as the biggest positive contributor. Overall, 61 counters recorded price gains while 83 settled with losses.

Turnover was led by JKH (Rs. 139 million), EXPO (Rs. 86 million), and TKYO (Rs. 41 million).

Asia also said foreigners recorded a net outflow of Rs. 3.5 million. Net foreign buying topped in TKYO.X at Rs. 38 million and selling topped in EXPO at Rs. 39.1 million.

First Capital said Bourse closed in the red, reverting back to its previous downward trend following the index’s one off gain during the last session. Once again high selling was observed largely on blue chip and banking counters, and thereby were also the largest negative contributors to the index which closed at 10,297, a 38 point drop from last session. Further, a large selling on EXPO throughout the day, following the release of their quarterly results which showed a 272.6% drop in YoY earnings recording a large loss of Rs. 5.2 billion. 

NDB Securities said high net worth and institutional investor participation was noted in John Keells Holdings, Tokyo Cement Company voting and nonvoting. Mixed interest was observed in Expolanka Holdings, Dialog Axiata and Hatton National Bank whilst retail interest was noted in Browns Investments, Tess Agro and SMB Leasing nonvoting. 

The Capital Goods sector was the top contributor to the market turnover (due to John Keells Holdings) whilst the sector index lost 0.18%. The share price of John Keells Holdings closed flat at Rs. 181.50.

The Materials sector was the second highest contributor to the market turnover (due to Tokyo Cement Company voting and nonvoting) whilst the sector index increased by 0.17%. The share price of Tokyo Cement Company nonvoting moved up by Rs. 1.50 to Rs. 38. The share price of Tokyo Cement Company declined by 50 cents to Rs. 46.

Expolanka Holdings and Dialog Axiata were also included amongst the top turnover contributors. The share price of Expolanka Holdings lost Rs. 1.25 to Rs. 131. The share price of Dialog Axiata recorded a gain of 20 cents to Rs. 9.