CSE’s dismal spell persists with 7-month low turnover 

The dismal spell continued at the Colombo stock market as it began a fresh week and suffered a new low in terms of turnover.

The active S&PSL 20 dipped by 0.5% and the benchmark ASPI by 0.1%. Turnover was only Rs. 376.7 million involving 112.6 million shares.



Asia Securities said the indices started the week on a low note with the ASPI declining by 14 points (+0.1%) and the S&P SL20 index declining 16 points (-0.5%) due to price losses in heavyweights SLT (-2.1%), HNBN (-1.0%), DIAL (-1.0%), and HAYL (-1.0%). HNBN (-6 points), SAMP (-4 points) and HAYL (-3 points) ended as the biggest laggards on the ASPI. Overall, 69 stocks ended in green while 83 settled with losses.

Turnover was led by JKH (Rs. 35 million) and HNBN (Rs. 27 million).

Foreigners recorded a net inflow of Rs. 1.8 million. Net foreign buying topped in LFIN at Rs. 12.9 million and selling topped in LLUB at Rs. 7 million.

First Capital said the broader market faced yet another day of decline, driven by weakened investor sentiment and thin trading volumes amidst the lingering uncertainties surrounding the political landscape in the country.

The ASPI started the week on a negative note, mirroring uncertainties of the previous week and experienced a dull trading day, closing the day in red at 11,619, losing 14 points for the 3rd consecutive day.

The Banking sector counters, and index heavyweights dragged the market down where HNB, SAMP, COMB, HAYL and GLAS emerged as the top negative contributors.

With the limited participation of the HNWIs and the retail investors, turnover slipped to nearly 7-month low and 63% lower than the month’s average. The Capital Goods sector led the turnover with 24%, followed by the Banking and Food, Beverage and Tobacco sectors jointly contributing 32% to the overall turnover.

NDB Securities said high net worth and institutional investor participation was noted in Hayleys Fabric and Lanka Milk Foods. Mixed interest was observed in John Keells Holdings, Hayleys and Aitken Spence Hotel Holdings whilst retail interest was noted in Browns Investments, Maharaja Foods and Dialog Axiata.

The Capital Goods sector was the top contributor to the market turnover (due to John Keells Holdings and Hayleys) whilst the sector index lost 0.19%. The share price of John Keells Holdings decreased by 25 cents to Rs. 191. The share price of Hayleys lost one Rupee to Rs. 101.

Hayleys Fabric, Lanka Milk Foods and Aitken Spence Hotel Holdings were also included amongst the top turnover contributors. The share price of Hayleys Fabric moved up by 60 cents to Rs. 47. The share price of Lanka Milk Foods recorded a loss of 40 cents to Rs. 27.80. The share price of Aitken Spence Hotel Holdings appreciated by Rs. 1.10 to Rs. 65.