Tuesday, 25 July 2017

Sri Lankan shares hit 6-week closing low

Reuters: Sri Lankan shares closed marginally weaker for a seventh straight session on Tuesday, but analysts expect sentiment to turn positive following cabinet approval for a Chinese-built port.

The Colombo stock index fell 0.03 percent to 6,662.34, marking its lowest close since June 13, and its tenth fall in 11 sessions.

Sri Lanka's cabinet cleared a revised agreement for its Chinese-built southern port of Hambantota on Tuesday which will bring in around 1 billion dollar investment, after terms of the first pact sparked widespread public anger in the island nation.

"With the cabinet approval granted for the port deal and exchange control bill presented to parliament today, we might see some positive sentiment returning to the market," said Dimantha Mathew, head of research, First Capital Holdings

Sri Lanka parliament on Tuesday debated a new exchange control bill.

Foreign investors bought shares worth a net 47.2 million rupees ($307,592.05) on Tuesday, extending the year-to-date net foreign inflow to 25 billion rupees.

Turnover was 359.8 million rupees, well below this year's daily average of around 903 million rupees.

Shares of Ceylon Tobacco Company Plc fell 0.9 percent. 

($1 = 153.4500 Sri Lankan rupees) 

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Vyas Mohan)

Monday, 24 July 2017

Sri Lankan shares post near 6-week closing low

Reuters: Sri Lankan shares fell for the sixth straight session on Monday to post a near six-week closing low, but brokers said the slide is slowing down.

The Colombo stock index fell just 0.08 percent to 6,664.12, but it marked the lowest close since June 13, and its ninth fall in 10 sessions.

"The market came down over the last few days due to profit taking, but it looks like the profit taking has come to an end and the market is consolidating at these levels," said Dimantha Mathew, head of research, First Capital Holdings.

Foreign investors bought shares worth a net 195.5 million rupees ($1.27 million) on Monday, extending the year-to-date net foreign inflow to 25 billion rupees.

Turnover was 502.6 million rupees, less than this year's daily average of around 907 million rupees.

Shares of Hemas Holdings Plc fell 1.8 percent while Ceylon Cold Stores Plc closed 1.14 percent weaker. 

($1=153.45 Sri Lankan rupees) 

(Reporting by Ranga Sirilal and Shihar Aneez; editing by Neil Fullick)

Friday, 21 July 2017

Sri Lankan shares post over 1-month closing low; blue chips lead

Reuters: Sri Lankan shares fell for an eighth session in nine in thin trade on Friday and posted a more than one-month closing low, with blue chips leading the losers.

The Colombo stock index ended 0.22 percent lower at 6,669.51, its lowest close since June 14, and its fifth straight session of falls.

"The market is bit slowing down and the local interest in the market was short lived," said Dimantha Mathew, head of research, First Capital Holdings.

"The market needs local investors to sustain the positive momentum. Foreign investors continue to buy."

Foreign investors bought shares worth net 6 million rupees ($39,062.50) on Friday, extending the year-to-date net foreign inflow to 24.8 billion rupees worth of equities.

Turnover was 516.8 million rupees, less than this year's daily average of around 914 million rupees.

Shares of market heavyweight John Keells Holdings closed 1 percent weaker and private lender Hatton National Bank fell 1.5 percent. 

($1 = 153.6000 Sri Lankan rupees) 

(Reporting by Shihar Aneez; Editing by Subhranshu Sahu)

Thursday, 20 July 2017

Sri Lankan shares fall for seventh session in eight; foreigners buy

Reuters: Sri Lankan shares fell for a seventh session in eight on Thursday and posted their lowest close in a month with blue chips leading the losers.

However, foreign investors bought into risky assets, limiting the downside.

The Colombo stock index ended 0.16 percent lower at 6,684.47, its lowest close since June 19, and its fourth straight session of falls.

"Turnover was healthy and we still see foreign interest in equities. We see the support level at 6,650," said Hussain Gani, deputy CEO at Softlogic Stockbrokers.

Foreign investors bought shares worth net 346.3 million rupees ($2.25 million) on Wednesday, extending the year-to-date net foreign inflow to 24.8 billion rupees worth of equities.

Turnover was 1 billion rupees, higher than this year's daily average of 914.1 million rupees.

Shares of Ceylon Tobacco Company fell 1.6 percent, while market heavyweight John Keells Holdings closed 0.6 percent weaker.

($1 = 153.6000 Sri Lankan rupees)

(Reporting by Shihar Aneez; Editing by Subhranshu Sahu)

Wednesday, 19 July 2017

Sri Lankan shares fall to 1-mth low; Chevron Lubricants leads

Reuters: Sri Lankan shares fell on Wednesday to a one-month closing low, marking their sixth losing session in seven, led by the decline in Chevron Lubricants Lanka after it reported a drop in the June-quarter earnings.

Chevron Lubricants stock lost 6.3 percent on Wednesday after the company reported a 34 percent fall in its second-quarter profit.

The Colombo stock index ended 0.59 percent lower at 6,695.23, its lowest since June 16, marking a third straight losing session.

"There was selling pressure after the Chevron Lubricants' earnings. Some other blue chips also were under selling pressure," said Dimantha Mathew, head of research, First Capital Holdings.

However, foreign investors continued to buy stocks. They were net buyers of shares worth 113.5 million rupees ($738,932)on Tuesday, extending the year-to-date net foreign inflow to 24.4 billion rupees worth of equities.

Turnover was 781.6 million rupees, less than this year's daily average of 912.8 million rupees.

Shares of conglomerate Hemas Holdings fell 3.6 percent, while telecom company Dialog Axiata fell 1.7 percent. 

($1 = 153.6000 Sri Lankan rupees) 

(Reporting by Shihar Aneez; Editing by Amrutha Gayathri)

Sri Lankan shares fall for fifth session in six

Reuters: Sri Lankan shares closed lower on Tuesday, marking their fifth session of decline in six, although foreign investors continued to buy stocks.

Domestic investors were concerned about a possible increase in interest rate, analysts said, after the International Monetary Fund said further monetary policy tightening in Sri Lanka was desirable until there were clear signs that inflationary pressures were subsiding.

Foreign investors were net buyers of shares worth 658.9 million rupees ($4.3 million) on Monday, extending the year-to-date net foreign inflow to 24.3 billion rupees worth of equities.

The Colombo stock index ended 0.09 percent lower at 6,735.04, marking a second straight losing session.

"The turnover was good and there was a huge interest in select shares," said Prashan Fernando, CEO at Acuity Stockbrokers.

Turnover was 1.25 billion rupees, more than this year's daily average of 913.4 million rupees.

Shares of large cap Ceylinco Insurance fell 7.35 percent, while Ceylon Tobacco Company edged down 0.8 percent.

($1 = 153.7500 Sri Lankan rupees)

( Reporting by Shihar Aneez; Editing by Amrutha Gayathri)

Tuesday, 18 July 2017

Sri Lankan shares fall on profit-taking in blue chips

REUTERS: - Sri Lankan shares fell on Monday, after posting their highest close in more than 18 months in the previous session, as investors booked profits in blue chips.

However, foreign players bought stocks on expectations of strong corporate earnings, limiting the downside.

The Colombo stock index dropped 0.37 percent to 6,741.07, its fourth session of decline in five.

"There was some profit-taking. But the turnover level was good and foreign investors were still on the buying side," said Hussain Gani, deputy CEO, Softlogic Stockbrokers.

The market could see a rising trend if yields on fixed-income securities fall as expected by the central bank, said analysts.

The central bank expects a further fall in T-bill yields due to less pressure from government borrowing and a proposed new auction system, Deputy Governor Nandalal Weerasinghe said in an interview with Reuters last week.

Foreign investors were net buyers of shares worth 155 million rupees ($1.01 million) on Monday, extending the year-to-date net foreign inflow to 23.6 billion rupees worth of equities this year.

Turnover was 736.4 million rupees, less than this year's daily average of 911 million rupees.

New foreign investors have been buying Sri Lankan shares since the Pakistani bourse was upgraded as an emerging market from a frontier one, said analysts.

Brokers said domestic investors have been waiting for clarity on the proposed inland revenue legislation, which some companies expect would result in higher costs of production.

The IMF, which has long urged Sri Lanka to boost tax revenue through modernisation and simplification of its fiscal system, has urged the government to submit to parliament a new Inland Revenue Act.

Shares of private lender Hatton National Bank fell 1.9 percent, while Commercial bank of Ceylon Plc, the country's biggest listed lender, ended 0.4 percent lower. 

($1 = 153.7000 Sri Lankan rupees) 

(Reporting by Shihar Aneez; Editing by Subhranshu Sahu)