Sri Lanka stocks rise to near 5-month high on banks; foreigners sell

COLOMBO, Jan 10 (Reuters) - Sri Lankan stocks rose for a fourth straight session to hit a near five-month high on Friday, led by financials on hopes of consolidation in the sector, while foreign investors sold risky assets on a net basis in an overbought market. 

The main stock index gained 0.23 percent, or 13.80 points, to end at 6,083.14, its highest close since Aug. 22. It has gained 2.32 percent in the last four sessions, with the index in an overbought region. 

"Investors believe banks and financial shares will gain following the central bank's direction for mergers," a stockbroker said on condition of anonymity. 

Shares in DFCC Bank PLC rose 6.06 percent to 150.60 rupees, while National Development Bank PLC gained 4.34 percent to 180.50 rupees. 

In its financial and monetary policy announcement for 2014, the central bank revealed plans to merge banks and non-banking financial firms to strengthen financial stability. 

Analysts said the central bank's interest rate cut last week and the recent fall in T-bill yields had boosted sentiment and helped sustain the gain. 

The CSE index gained 4.8 percent in 2013 after losses in the previous two years, giving a return of 2.18 percent in dollar terms. 

Many investors locked their funds in risk-free debentures instead of risky assets last year due to a sluggish bourse and falling interest rates. 

The day's turnover was 1.38 billion rupees ($10.6 million), surpassing last year's daily average of about 828.4 million rupees. 

Foreign investors were net sellers for the first time in six sessions, selling 72.04 million rupees worth of shares on Friday. 

But they have net bought 97.8 million rupees of shares so far this year. Offshore investors bought a net 22.88 billion rupees worth of stocks last year. 

($1 = 130.7000 Sri Lanka rupees) 

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Prateek Chatterjee)

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Sri Lanka stocks end higher

Jan 10, 2014 (LBO) – Sri Lanka stocks close up 0.23 percent for the fourth consecutive day with banking and property stocks gaining, brokers said.

The Colombo benchmark All Share Price Index closed 13.80 points higher at 6,083.14, up 0.23 percent. The S&P SL20 closed 22.12 points higher at 3,384.51, up 0.66 percent.

Turnover was 1.38 billion rupees, down from 1.57 billion rupees a day earlier, with stocks of 69 firms closing in the red against 123 gainers.

Chevron Lubricants closed 1.00 rupee higher at 274.50 rupees with three off market transactions totaling 492.84 million rupees contributing to 36 percent of the total turnover today.

The Finance Company closed 40 cents higher at 12.70 rupees, attracting most number of trades during the day.

Foreigners bought 579 million rupees worth shares while selling 651 million rupees of shares.

DFCC closed 8.60 rupees higher at 150.60 rupees and Asian Hotels and Properties closed 2.90 rupees higher at 67.90 rupees, contributing most to the index gain.

Commercial Leasing and Finance closed 20 cents higher at 4.20 rupees and NDB closed 7.50 rupees higher at 180.50 rupees.

Commercial Bank closed 1.30 rupees higher at 126.30 rupees and Ceylinco Insurance closed flat at 1,206.50 rupees.

Ceylon Tobacco Company closed 29.50 rupees lower at 1,190.00 rupees and Carson Cumberbatch closed 14.90 rupees lower at 355.00 rupees.

Nestle Lanka closed 40.00 rupees lower at 2,126.80 rupees and JKH closed 70 cents lower at 231.80 rupees.

JKH’s W0022 warrants closed 10 cents lower at 85.00 rupees and its W0023 warrants closed 2.10 rupees lower at 90.00 rupees.

Lion Brewery closed 6.90 rupees lower at 368.00 rupees and Cargills Ceylon closed 3.50 rupees higher at 148.00 rupees.

Distilleries closed flat at 200.00 rupees and Bukit Darah also closed flat at 620.00 rupees.

Lanka Orix Leasing Company closed 50 cents lower at 71.50 rupees and Sri Lanka Telecom closed flat at 37.10 rupees.

Aitken Spence closed 1.40 rupees higher at 106.20 rupees and Aitken Spence Hotel Holdings ended up 1.00 rupee at 70.00 rupees.
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Sri Lanka stocks gain for 3rd session; investors advised to choose quality shares

COLOMBO, Jan 9 (Reuters) - Sri Lankan stocks rose for a third straight session to a near five-month high on Thursday with turnover boosted by foreign buying in risky assets, while analysts asked investors to focus on quality shares for double-digit returns. 

The main stock index gained 0.25 percent, or 14.87 points, to end at 6,069.34, its highest close since Aug. 22. 

It has gained more than 2 percent in the last three sessions, with the index now in an overbought region. 

Analysts said the central bank's interest rate cut last week and the recent fall in T-bill yields had boosted sentiment and helped sustain the gain., First Capital Equities advised investors in a note against seeking speculative positions and to focus on quality companies that would generate double-digit returns over a reasonable investment horizon. 

"Investors are advised to refrain from applying a herd mentality in the current sideways market, but use the opportunity to review their portfolios in order to ensure that their allocations continue to reflect their risk appetite, investment goals and horizon," it said. 

The CSE index gained 4.8 percent in 2013 after losses in the previous two years, giving a return of 2.18 percent in dollar terms. 

Many investors locked their funds in risk-free debentures instead of risky assets due to a sluggish bourse and falling interest rates. 

The day's turnover was 1.57 billion rupees, surpassing last year's daily average of about 828.4 million rupees. Foreign buying accounted for 56 percent of the turnover. 

Foreign investors bought a net 109 million rupees ($833,000) worth of shares on Thursday, extending year-to-date foreign inflows to 169.8 million rupees. 

Offshore investors bought a net 22.88 billion rupees worth of stocks last year, while 2011 saw a record 38.68 billion rupees in net foreign inflows. 

Ceylon Tobacco Co PLC shares rose 1.09 percent to 1,219.50 rupees, while Nestle Lanka PLC gained 1.91 percent to 2,166.80 rupees. 

($1 = 130.8500 Sri Lanka rupees) 

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Prateek Chatterjee)

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Sri Lanka stocks close up 0.2-pct

an 09, 2014 (LBO) – Sri Lanka stocks end 0.25 percent higher Thursday with tobacco and diversified stocks gaining, brokers said.

The Colombo benchmark All Share Price Index closed 14.87 points higher at 6,069.34, up 0.25 percent. The S&P SL20 closed 12.08 points higher at 3,362.39, up 0.36 percent.

Turnover was 1.57 billion rupees, up from 849.52 million rupees a day earlier, with stocks of 89 firms closing in the red against 100 gainers.

JKH topped the market turnover list with transactions of 170.77 million rupees contributing to 11 percent of total turnover today.

Chevron Lubricants closed 90 cents lower at 273.50 rupees with off market transactions of 391.46 million rupees contributing to 25 percent of turnover.

The Finance Company closed 10 cents higher at 12.30 rupees, attracting most number of trades during the day.

Foreigners bought 882 million rupees worth shares while selling 773 million rupees of shares.

Carson Cumberbatch closed 14.90 rupees higher at 369.90 rupees and Ceylon Tobacco Company closed 13.20 rupees higher at 1,219.50 rupees, contributing most to the index gain.

Nestle Lanka closed 40.60 rupees higher at 2,166.80 rupees and Cargills Ceylon closed 4.10 rupees lower at 144.50 rupees.

Commercial Leasing and Finance closed 20 cents higher at 4.00 rupees and JKH closed 2.50 rupees lower at 232.50 rupees.

JKH’s W0022 warrants closed 4.00 rupees lower at 85.10 rupees and its W0023 warrants closed 4.20 rupees lower at 92.10 rupees.

Distilleries closed flat at 200.00 rupees and Bukit Darah also closed flat at 620.00 rupees.

Ceylinco Insurance closed 93.50 rupees lower at 1,206.50 rupees and Lanka Orix Leasing Company closed 80 cents higher at 72.00 rupees.

Aitken Spence closed 1.20 rupees lower at 104.80 rupees and Lion Brewery closed flat at 374.90 rupees.

Sri Lanka Telecom closed 40 cents lower at 37.10 rupees and DFCC closed 1.90 rupees higher at 142.00 rupees.
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Sri Lanka stocks at near 5-month high; breaks 6,000 barrier

COLOMBO, Jan 8 (Reuters) - Sri Lankan stocks gained 1.3 percent on Wednesday to a near five-month high and broke its psychological barrier of 6,000, led by market heavyweight John Keells Holdings PLC with foreigners buying in risky assets.

Analysts said the central bank's interest rate cut last week had boosted the sentiment and helped sustain the gain. The main stock index jumped 1.29 percent, or 77.40 points, to 6,054.47, its highest close since Aug. 22 last. 

Foreign investors bought 215.4 million rupees ($1.65 million) worth of shares on Wednesday, making the year-to-date net foreign inflow at 60.8 million rupees. 

They had bought a net 22.88 billion rupees worth of stocks last year, compared with a record 38.68 billion rupees net foreign inflow in 2011. 

The central bank slashed the standing lending facility rate or reverse repurchase rate by 50 basis points to a multi-year low of 8.00 percent on Thursday, in a move to reduce commercial banks' interest rate spreads. 

On Wednesday, the yields in government T-bills sharply fell to more than two-year low. The day's turnover was 849.1 million rupees, just above last year's daily average of about 828.4 million rupees. 

Shares in conglomerate John Keells jumped 3.16 percent to 235 rupees a share. 

The CSE index gained 4.8 percent in 2013 after losses in the previous two years, giving a return of 2.18 percent in dollar terms. 

Many investors locked their funds in risk-free debentures instead of risky assets due to a sluggish bourse amid falling interest rates. 

($1 = 130.7000 Sri Lanka rupees) 

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Gopakumar Warrier)

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Sri Lanka stocks surge 1.2-pct

Jan 08, 2014 (LBO) – Sri Lanka stocks surged 1.2 percent higher Wednesday as interest rates continued to fall, extending gains from a day earlier, brokers said.

The Colombo benchmark All Share Price Index closed 77.40 points higher at 6,054.47, up 1.29 percent. The S&P SL20 closed 49.86 points higher at 3,350.31, up 1.51 percent.

Turnover was 849.52 million rupees, up from 716.25 million rupees a day earlier, with 178 firms closing up in broad-based rally with only 38 firms retreating.

Treasuries fell around 50 basis points at a weekly auction ahead of a billion US dollar sovereign fund raising by the government.

Foreign investor favourite John Keells Holdings topped the turnover list with deals of 149.41 million rupees contributing to 18 percent of total turnover today.

JKH closed 7.20 rupees higher at 235.00 rupees and Ceylon Tobacco Company closed 8.10 rupees higher at 1,206.30 rupees, contributing most to the index gain.

JKH’s W0022 warrants closed 4.20 rupees higher at 89.10 rupees and its W0023 warrants closed 3.10 rupees higher at 96.30 rupees.

Commercial Bank closed 1.70 rupees higher at 124.60 rupees with an off market transaction of 63.54 million rupees contributing to 7 percent of turnover.

The Finance Company closed 1.50 rupees higher at 12.20 rupees, attracting most number of trades during the day.

Foreigners bought 280 million rupees worth shares while selling 65 million rupees of shares.

Distilleries closed 5.00 rupees higher at 200.00 rupees and Cargills Ceylon closed 5.40 rupees higher at 148.60 rupees.

Nestle Lanka closed 11.20 rupees higher at 2,126.20 rupees and Bukit Darah closed 4.20 rupees higher at 620.00 rupees.

Ceylinco Insurance closed flat at 1,300.00 rupees and Lanka Orix Leasing Company closed 80 cents lower at 71.20 rupees.

Aitken Spence closed 2.10 rupees higher at 106.00 rupees and Aitken Spence Hotel Holdings closed 2.30 rupees higher at 68.70 rupees.


Carson Cumberbatch closed 2.00 rupees lower at 355.00 rupees and Lion Brewery closed 9.90 rupees higher at 374.90 rupees.

Sri Lanka Telecom closed 10 cents lower at 37.50 rupees and Dialog Axiata closed 10 cents higher at 9.10 rupees.

Asian Hotels and Properties closed 70 cents higher at 64.80 rupees and Commercial Leasing and Finance closed 10 cents lower at 3.80 rupees.

HNB closed 1.20 rupees higher at 151.00 rupees and Sampath Bank closed 1.60 rupees higher at 172.00 rupees.

DFCC closed 5.30 rupees higher at 140.10 rupees.

Sri Lanka stocks at near 5-mth high on large caps, foreign buying

COLOMBO, Jan 7 (Reuters) - Sri Lankan stocks gained to a near 5-month high led by large caps and banks as active local institutional investors and foreigners bought in risky assets, and analysts said the central bank's rate cut had been helping the positive sentiment. 

The main stock index rose 0.54 percent, or 32.08 points, to 5,977.07, its highest close since Aug. 22 last. 

"Institutional appetite ruled the day's trading session with a healthy turnover level," TKS Securities said in a note. 

Foreign investors bought 117.8 million rupees ($901,000)worth of shares on Tuesday after buying a net 22.88 billion rupees worth of stocks last year, compared with a record 38.68 billion rupees net foreign inflow in 2011. 

Analysts said the bourse was sustaining its upward trend and the central bank's rate cut had helped boost the sentiment. 

The central bank slashed the standing lending facility rate or reverse repurchase rate by 50 basis points to a multi-year low of 8.00 percent on Thursday, in a move to reduce commercial banks' interest rate spreads. 

The day's turnover was 716.2 million rupees, less than last year's daily average of about 828.4 million rupees. Shares in Ceylon Tobacco Company PLC gained 1 percent to 1198.20 rupees, while Commercial bank of Ceylon PLC rose 1.65 percent 122.90 rupees. 

The index gained 4.8 percent in 2013 after losses in the previous two years, giving a return of 2.18 percent in dollar terms. 

Many investors locked their funds in risk-free debentures instead of risky assets due to a sluggish bourse amid falling interest rates. 

($1 = 130.7500 Sri Lanka rupees) 

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Gopakumar Warrier)

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