Colombo stock market finally turns YTD positive

Thursday, 26 November 2020 02:54 - - {{hitsCtrl.values.hits}}

The All Share Price Index (ASPI) at the end of trading yesterday closed in positive year-to-date (YTD) returns territory for the first time in 2020.

The ASPI closed at 6,141.79 points, 0.21% higher than the figure recorded at the start of 2020. This marks a turnaround in the index, which at its lowest point this year recorded -30.6% YTD on 12 May. Softlogic Stockbrokers said the ASPI increased by 54.1 points to close at 6,141.8 (+0.9%) whilst the more liquid S&P SL 20 Index also increased by 16.2 points to close at 2,416.2 (+0.7%). Turnover stood at Rs. 2.5 billion vs. 12-month average daily turnover of Rs. 1.6 billion.

First Capital said the Bourse witnessed an uptick for the 2nd consecutive session, although recording turnover below the one month average for the 10th straight session.

“Index experienced a continuous uptrend since the beginning of the session and closed at 6,142 with an advance of 54 points,” it said.

Asia Securities said the market closed with turnover reaching a four-day high and the ASPI moving into positive territory YTD. The ASPI has seen strong gains since the lifting of the lockdowns in May, breaching the 6,000 mark in early October.

“Following the resurgence of COVID-19 in October, the index saw a steep fall down to the 5,500 levels, however has since been on an upward trajectory surpassing levels seen at the start of the year,” Asia said.

NDB Securities said the ASPI closed in green as a result of price gains in counters such as John Keells Holdings, Melstacorp and Commercial Leasing & Finance.

High net worth and institutional investor participation was noted in Dipped Products, John Keells Holdings and Lion Brewery Ceylon. Mixed interest was observed in ACL Cables, Access Engineering and Tokyo Cement Company nonvoting whilst retail interest was noted in Expolanka Holdings, Kelani Tyres and Melstacorp.

Materials sector was the top contributor to the market turnover (due to Dipped Products) whilst the sector index gained 3.37%. The share price of Dipped Products increased by Rs. 18.30 (5.83%) closing at Rs. 332.40 whilst foreign holdings decreased by 245,845 shares.

Capital Goods sector was the second highest contributor to the market turnover (due to John Keells Holdings) whilst the sector index increased by 1.60%. The share price of John Keells Holdings appreciated by Rs. 2.40 (1.66%) to close at Rs. 147.40.

Expolanka Holdings, Kelani Tyres and Melstacorp were also included amongst the top turnover contributors. The share price of Expolanka Holdings lost Rs. 0.20 (0.78%) to close at Rs 25.40. The share price of Kelani Tyres moved up by Rs 5.00 (5.97%) to close at Rs 88.80. The share price of Melstacorp recorded a gain of Rs 2.50 (6.94%) to close at Rs 38.50.

Melstacorp also announced an interim dividend of Rs. 2.50 per share.

Acuity Stockbrokers said foreign investors recorded a net outflow of Rs. 109 million as against a net inflow of Rs. 62.8 million on Tuesday.