CSE turnover slumps to 4-month low of Rs. 397 m

The turnover at the Colombo stock market slumped to a four-month low of Rs. 397 million as investors showed lacklustre interest amidst uncertainty over Budget 2024 and other factors.

Volume of shares traded was only 14.2 million. Indices almost remained unchanged. Asia Securities said the market continued its subdued momentum recording a four-month low in turnover. 

The ASPI touched a high of 10,730 (+41 points) in early trading before dropping to 10,650 (-40 points). Eventually, the index settled marginally lower at 10,688 (-2 points). Notably, LIOC (+6.3%) closed markedly higher during the session. Overall, 73 stocks closed in green while 88 settled with losses.

Asia also said foreigners recorded a net inflow of Rs. 25 million. Net foreign buying topped in JKH at Rs. 31 million and selling topped in VONE at Rs. 5.8 million.

First Capital said the market adopted a cautious stance, with investors adopting a wait and see approach in anticipation of the upcoming budget. Consequently, the ASPI maintained a relatively flat trajectory, closing just marginally in the red at 10,688, with a minor decline of only 2 points. Amongst the top turnovers for the day, LIOC stood out, as it reported over 100% QoQ growth in earnings for the latest quarter. However, EXPO observed selling interest due to unfavourable results whilst retail investors remained active amidst relatively thin volumes.

NDB Securities said high net worth and institutional investor participation was noted in John Keells Holdings. Mixed interest was observed in Lanka IOC, Expolanka Holdings and Ceylon Grain Elevators whilst retail interest was noted in SMB Leasing voting and non-voting, Browns Investments and Laxapana Batteries.

The Capital Goods sector was the top contributor to the market turnover (due to John Keells Holdings and Laxapana Batteries) whilst the sector index lost 0.29%. The share price of John Keells Holdings closed flat at Rs 192.50. The share price of Laxapana Batteries appreciated by Rs. 1.10 to Rs. 14.90.

The Food, Beverage & Tobacco sector was the second highest contributor to the market turnover (due to Ceylon Grain Elevators) whilst the sector index increased by 0.75%. The share price of Ceylon Grain Elevators recorded a gain of Rs. 7.75 to Rs. 164.25.

Lanka IOC and Expolanka Holdings were also included among the top turnover contributors. The share price of Lanka IOC increased by Rs. 6.50 to Rs. 110. The share price of Expolanka Holdings moved up by 75 cents to Rs. 129.