Stock market loses winning streak, but turnover remains robust

The Colombo stock market lost the momentum of its winning streak yesterday as investors took profit on recent gainers such as Expolanka and LOLC, though turnover remained robust. 

The All Share Price Index lost 12 points, or 0.15%, and the S&PSL20 managed to close almost flat. Turnover was Rs. 5.6 billion involving 245 million shares. 

First Capital said the bourse slipped into the red zone, ceasing the two-day winning streak, with the market cooling off following the massive gains in the previous trading session. 

“Index began trading on a positive note and reached its intraday peak of 8,274 within the initial 15 minutes, however, it experienced a dip and sideways movement till the latter part of the session, followed by a downtrend over the final 30 minutes, before losing 12 points and closing at 8,210,” First Capital added. 

It said turnover was led by the Capital Goods sector, closely followed by the Transportation sector, collectively accounting for a total contribution of 52%. 

Asia Securities said the indices trended downwards following a gap-up opening, as investors booked profit in recent price gainers. It said EXPO continued its momentum generating the highest turnover (25%), led mainly by HNI investors, while overall activity remained robust. 

Asia said foreigners recorded a net outflow of Rs. 266.7 million while their participation declined to 3.7% of turnover (previous day 5.8%). Estimated net foreign buying topped in EXPO at Rs. 18.8 million and net foreign selling topped in JKH at Rs. 267.4 million. 

NDB Securities said the ASPI closed in red as a result of price losses in counters such as LOLC Holdings, Expolanka Holdings and Ceylon Cold Stores.

It said high net worth and institutional investor participation was noted in John Keells Holdings and Commercial Bank. Mixed interest was observed in Royal Ceramics, Dipped Products and Vallibel One, while retail interest was noted in Browns Investments, Expolanka Holdings and SMB Leasing nonvoting. 

Capital Goods sector was the top contributor to the market turnover (due to John Keells Holdings and Royal Ceramics), while the sector index edged up by 0.10%. The share price of John Keells Holdings moved up by Rs. 2 (1.45%) closing at Rs. 140, while foreign holdings decreased by 1,910,000 shares. The share price of Royal Ceramics recorded a loss of Rs. 0.30 (0.72%) to close at Rs. 41.40.

The Transportation sector was the second highest contributor to the market turnover (due to Expolanka Holdings), while the sector index decreased by 2.25%. The share price of Expolanka Holdings decreased by Rs. 1.80 (2.26%) to close at Rs. 77.80.

Browns Investments and Dipped Products were also included among the top turnover contributors. The share price of Browns Investments gained Rs. 0.10 (1.47%) to close at Rs. 6.90. The share price of Dipped Products declined by Rs. 1.60 (2.72%) to close at Rs. 57.30.

Separately Chevron Lubricants announced an interim dividend of Rs. 2 per share.