Stock market turns negative

Thursday, 29 October 2020 00:48 - - {{hitsCtrl.values.hits}}

The Colombo Stock Market turned negative yesterday with the news of the three-day curfew in Western Province from tomorrow, whilst turnover continued to be over Rs. 1 billion.

On a day full of fluctuations, the ASPI ended down 1% and the S&P SL20 index closed 0.5% lower. Turnover was Rs. 1.25 billion.

First Capital said panic selling of retailers stemming from the imposition of quarantine curfew reverted the direction of the market to negative, recording a three-week low.

“Index experienced a stagnant movement till mid-day, thereafter plunged and recorded its intraday low of 5,573 before closing at 5,600 losing 80 points,” First Capital said.

Materials sector counters continued to lead the turnover, closely followed by Banking and Capital Goods sector counters making a joint contribution of 59%. Foreign investors continued to be net-sellers while recording low participation, it added.

NDB Securities said the ASPI closed in red as a result of price losses in counters such as Bukit Darah, Sri Lanka Telecom and Carson Cumberbatch.

It said high net worth and institutional investor participation remained subdued for the day. Mixed interest was observed in Hatton National Bank (HNB), Hemas Holdings and Commercial Bank, whilst retail interest was noted in Expolanka Holdings, Tokyo Cement Company non-voting and Dipped Products.

Materials sector was the top contributor to the market turnover (due to Tokyo Cement Company non-voting and Dipped Products), whilst the sector index lost 2.43%. The share price of Tokyo Cement Company non-voting recorded a loss of Rs. 2.20 (4.29%) to close at Rs. 49.10. The share price of Dipped Products declined by Rs. 9.10 (2.94%) to close at Rs. 299.90.

The Banking sector was the second highest contributor to the market turnover (due to HNB), whilst the sector index decreased by 1.14%. The share price of HNB lost Rs. 0.50 (0.44%) to close at Rs. 113.00.

Expolanka Holdings and Hemas Holdings were also included amongst the top turnover contributors. Furthermore, the share price of Expolanka Holdings decreased by Rs. 0.70 (3.95%) to close at Rs. 17.00, whilst the share price of Hemas Holdings moved up by Rs. 0.20 (0.29%) to close at Rs. 68.80.