CSE starts fresh week on a negative note

The Colombo stock market began a fresh week on a negative note as investors remained wary and inactive.

The active S&P SL20 declined by 0.9% and the benchmark ASPI by 0.6%. Turnover slump to two-week low of Rs. 446 million involving 22.5 million shares. Asia Securities said the market commenced the week on a low note, witnessing a downward trend in the indices for the fourth consecutive session.

Noteworthy price gainers were GLAS (+1.1%), AEL (+1.1%), and DIAL (+2.3%). On the flipside, EXPO (-1.6%), LIOC (-1.2%), BIL (-2.1%), HNBN (-1.3%), and SCAP (-2.9%) closed in red.

The day’s turnover was led by COMB at Rs. 46 million.

Foreigners recorded a net inflow of Rs. 30 million. 

Net foreign buying topped in COMB.N at Rs. 33.3 million and selling topped in LIOC at Rs. 6.4 million.

First Capital said the ASPI closed in the negative territory for the fourth consecutive session, as market activity tapered off in anticipation of the upcoming holiday season. Investor sentiment remained subdued due to concerns about the prevailing macroeconomic conditions. 

The Index moved downwards throughout the session amidst limited participation while selling interest was largely observed across the Banking sector and blue chips. Within the Banking counters NDB, HNB and DFCC were the biggest drag on the index as the ASPI closed in the red at 10,673 losing 69 points. However, during the early trading hours, there was notable activity in hotel stocks, specifically RHTL and AHPL.

Turnover plummeted to a 2-week low amidst limited retail participation while the Banking (27%) and Food, Beverage and Tobacco (15%) sectors jointly accounted for 42% of overall turnover. 

NDB Securities said high net worth and institutional investor participation was noted in Lanka IOC, John Keells Holdings, and Agarapatana Plantations. Mixed interest was observed in Commercial Bank, Sampath Bank and Expolanka Holdings whilst retail interest was noted in Browns Investments, LOLC Finance and Industrial Asphalts.

The Banking sector was the top contributor to the market turnover (due to Commercial Bank and Sampath Bank) whilst the sector index lost 0.86%. The share price of Commercial Bank closed flat at Rs. 93.90. The share price of Sampath Bank lost 20 cents to Rs. 71.20.

The Food, Beverage and Tobacco sector was the second highest contributor to the market turnover whilst the sector index decreased by 0.84%.

Expolanka Holdings, Lanka IOC and John Keells Holdings were also included amongst the top turnover contributors. The share price of Expolanka Holdings moved down by Rs. 2.25 to Rs. 139. The share price of Lanka IOC recorded a loss of Rs. 1.25 to Rs. 105. The share price of John Keells Holdings declined by one rupee to Rs. 190.50.