Crossings bolster Bourse turnover to Rs. 5 b; sentiments remain bearish

Sentiments at the Colombo stock market remained bearish yesterday though crossings boosted turnover to four month high of Rs. 5 billion. 

The active S&P SL20 index was down by 0.2% and the benchmark ASPI was flat, performing better than past two sessions. Turnover was Rs. 5.05 billion involving 323.3 million shares.

Asia Securities said following a positive start to the session, the indices edged lower due to price declines in CALT (-1.6%), CFVF (-2.4%), NDB (-1.2%), HHL (-1.0%), and BIL (-2.1%). The ASPI touched a high of 10,658 (+46 points) in the first half of the session before reversing its course, dipping into the red to close at 10,604 (-9 points). AEL (+2.1%) sustained investor interest with continued buying while CFIN (+1.5%), JAT (+1.3%), NTBN (+1.7%), RCL (+1.1%), WATA (+1.0%), and HAYL (+1.0%) also closed in the green at the end of the session. Overall, 58 stocks ended in green while 78 settled with losses.

Turnover was boosted by crossings in AGST.N (Rs. 4.1 billion), AGSTX (Rs. 210 million), SAMP (Rs. 142 million), and HNBN (Rs. 102 million). 

Asia also said foreigners recorded a net outflow of Rs. 21.2 million. Net foreign buying topped in MGT at Rs. 19 million and selling topped in TJL at Rs. 17.1 million.

First Capital said the bourse closed in the red for the sixth consecutive session on the back of low investor participation ahead of the up-coming holiday season.

The ASPI fell on thin volumes during the day with slight selling interest observed on selected banks (SAMP & SEYB) whilst limited collection was visible on index heavyweights including CTC and HAYL, which resulted in ASPI declining marginally by nine points to close the day at 10,604.

Turnover was recorded at Rs. 5.1 billion (464% higher than the monthly average of Rs. 851.3 million) highest recorded in nearly four months, mainly contributed by off-board transactions on both AGST.N and AGST.X which saw 269 million shares traded at Rs. 15 (totalling to a stake of 58.3%) and 17.5 million shares traded at Rs. 12 (totalling to 66.7%), respectively. Furthermore, active investor participation on AGPL, SAMP and HNB also backed the turnover exceptionally well during the day. NDB Securities said crossings were witnessed in Agstar, Agstar nonvoting, Sampath Bank and Hatton National Bank, accounting for 90% of the turnover. Mixed interest was observed in Agarapatana Plantations, Expolanka Holdings and Access Engineering whilst retail interest was noted in Browns Investments, Dialog Axiata and Associated Motor Finance Company.

The Materials sector was the top contributor to the market turnover (due to Agstar and Agstar nonvoting) whilst the sector index gained 0.20%. The share price of Agstar increased by 90 cents to Rs. 8.90. The share price of Agstar nonvoting closed flat at Rs. 6.20.

The Banking sector was the second highest contributor to the market turnover (due to Sampath Bank and Hatton National Bank) whilst the sector index decreased by 0.30%. The share price of Sampath Bank moved down by 40 cents to Rs. 70.60. The share price of Hatton National Bank recorded a gain of 50 cents to close at Rs. 163.75.

Agarapatana Plantations was also included amongst the top turnover contributors. The share price of Agarapatana Plantations appreciated by 20 cents to Rs. 7.90.