Colombo Stock Exchange Market Review – 25th Oct 2016

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Colombo Stock Exchange Trade Summary 25-Oct-2016

Colombo stock market turned green on Tuesday with thinnest market turnover in 31 months. All Share index started the day at 6,417 mark and gained 18.63 index points or 0.29% to end at 6,436.97. High cap constituent, S&P SL20 index slightly gained 0.51 index points or 0.01% to end at 3,587.47.

Price gains in Ceylon Tobacco (closed at LKR 846.80, +2.0%), Sri Lanka Telecom (closed at LKR 37.00, +1.9%) and Bukit Darah (closed at LKR 279.60, +3.8%) drove the index up.

Daily market turnover was LKR 136mn. Renuka Agri Foods top the turnover list with LKR 34mn supported by a single crossing of 8.9mn shares at LKR 3.50 per share. Lion Brewery (LKR 16mn), Hatton National Bank (LKR 8mn), Lanka Orix Leasing & Company (LKR 6mn) and Ceylon Grain Elevators (LKR 5mn) were among top contributors.

Market breadth was positive where out of 207 traded counters, 65 advanced, 53 slipped while 89 remained unchanged.

High investor preference was seen in Watawala Plantations where counter advanced to LKR 20.70, +3.5% supported by favourable earnings release and dividend announcement. Company declared an interim dividend of LKR 0.65 per share. First Capital Holdings, Commercial Credit & Finance and Ceylon Grain Elevators were among highly traded counters.

Further, LKR 6bn debenture issue of Hatton National Bank was oversubscribed within few hours of opening for subscription today. Accordingly, the issue was closed today as per the prospectus.

Foreign investors continued to remain on the buy side for the eleventh consecutive session with a net foreign inflow of LKR 18mn. Foreign participation was 13%. Net foreign inflows were seen in Lion Brewery (LKR 16mn), Commercial Bank (LKR 5mn), Ceylon Grain Elevators (LKR 3mn) while net foreign outflow was mainly seen in Hatton National Bank (LKR 4mn).

Source: LSL

Sri Lankan shares recover from 12-wk low in dull trading

Reuters: Sri Lankan shares edged up on Tuesday from a 12-week closing low hit in the previous session, but trading volume slumped to a more than 2-1/2-year low as investors awaited cues from the government budget and five-year plan as well as corporate earnings.

Sri Lanka's quarterly earnings season started two weeks ago, but most of the firms listed locally reports in late October or early November. The national budget is scheduled to be presented on Nov. 10.

The benchmark index of the Colombo Stock Exchange ended 0.29 percent or 18.63 points higher at 6,436.97, edging up from Monday's close of 6,418.34, its lowest since Aug. 1. The index fell 0.54 percent last week, its second straight weekly loss.

Tuesday's turnover was 135.9 million rupees ($921,355.93), its lowest since March 17, 2014 and lower than a fifth of this year's daily average of around 736.2 million rupees.

"It was a very dull day. It's a waiting game now and nothing is happening," said Dimantha Mathew, head of research at First Capital Equities (Pvt) Ltd.

"The equity market is dead and all are waiting for the government's five-year plan and the budget."

Stockbrokers said the market was also digesting political concerns over the resignation of the head of Sri Lanka's anti-corruption body on Oct. 17, a few days after President Maithripala Sirisena implied that the agency was favouring the rival party of his prime minister.

This is likely to delay one of the promises of Sirisena's coalition government, eliminating corruption, and could hurt business confidence, analysts said.

Foreign investors bought a net 17.6 million rupees worth of equities on Tuesday, in the eleventh straight session of net foreign inflows and bringing the total net inflows to 1.23 billion rupees over that period.

They have sold a net 1.74 billion rupees worth of shares this year.

Shares in Ceylon Tobacco Company rose 2 percent, while Carson Cumberbatch Plc rose 1.65 percent. 

($1 = 147.5000 Sri Lankan rupees) 

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Amrutha Gayathri)

Colombo Stock Exchange Market Review – 24th Oct 2016

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Colombo Stock Exchange Trade Summary 24-Oct-2016

Colombo bourse slumped on week’s opening day as investors remained on the sidelines, awaiting direction from the budget. All Share index lost the way after reaching 6,449 in the opening minutes to closed at 6,418.34, down by 29.19 index points or 0.45%. Blue-chip constituent, S&P SL20 index dipped by 7.63 index points (-0.21%) to end at 3,586.96.

Ceylon Tobacco (closed at LKR 830.20, -2.0%) dragged the index down along with price depreciations in high caps namely, Sri Lanka Telecom (closed at LKR 36.30, -2.2%), Commercial Leasing & Finance (closed at LKR 3.60, -5.3%). Further, Chevron Lubricants declined by 1.8% to LKR 167.00 on the XD day.

Daily market turnover was LKR 301mn. Commercial Bank was the top contributor to the turnover with LKR 35mn followed by John Keells Holdings (LKR 34mn), Lanka Orix Leasing Company (LKR 29mn) and Sampath Bank (LKR 26mn).

Losers offset the gainers 91 to 29, while 77 scripts remained unchanged. High investor activity was witnessed in Lanka IOC and stock closed with loss of 1.5% at LKR 33.50. First Capital Holdings, John Keells Holdings, Lanka Orix Leasing Company and Hayleys Fabrics were among highly traded counters.

Meanwhile, LKR 7bn debenture issue of Commercial Bank was oversubscribed within few hours of opening for subscription today. Accordingly, the issue was closed today as per the prospectus. Lanka Walltiles declared an interim dividend of LKR 2.00 per share.

Foreign investors continued to bag stocks for the tenth consecutive session with a net foreign inflow of LKR 63mn. Foreign participation was 22%. Net foreign inflows were seen in Commercial Bank (LKR 35mn), Sampath Bank (LKR 16mn), Teejay Lanka (LKR 11mn) while net foreign outflow was mainly seen in Hatton National Bank (LKR 5mn).
Source: LSL