Sri Lankan shares hit 4-wk closing high; large caps lead

Reuters: Sri Lankan shares hit a four-week closing high on Wednesday, rising for a third straight session, as investors picked up large cap shares such as Ceylon Tobacco Company Plc, brokers said.

The Colombo stock index ended 0.43 percent firmer at 6,175.50, its highest close since Jan. 18.

"Market continued its uptrend as the prices are still cheap and attractive for investors and the news such as Fitch are positive for investors," said Reshan Kurukulasuriya, chief operating officer, Richard Pieris Securities (Pvt) Ltd.

Last week, Fitch Ratings affirmed Sri Lanka's Long-Term Foreign- and Local Currency Issuer Default Ratings (IDR) at 'B+' and revised the outlook to 'stable' from 'negative'.

Shares of Ceylon Tobacco Company Plc jumped 2.89 percent, while Ceylinco Insurance Plc rose 5.97 percent.

Turnover stood at 876.3 million rupees ($5.83 million), more than this year's daily average of 631.4 million rupees.

Foreign investors net bought 22.3 million rupees worth of equities on Wednesday. They have net sold 290.7 million rupees worth of shares so far this year.

Sri Lankan stocks have been hit by political uncertainty after ruling coalition parties decided to contest local polls separately, and on worries over a rise in interest rates.

Yields on treasury bills rose 5-8 basis points at a weekly auction on Wednesday and are hovering at a more than four-year high. 

($1 = 150.3000 Sri Lankan rupees) 

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Biju Dwarakanath)

Sri Lankan shares hit 2-wk closing high as blue chips rally

Reuters: Sri Lankan shares hit a two-week closing high on Tuesday as investors picked up blue chip shares such as John Keells Holdings Plc and Ceylon Tobacco Company Plc, brokers said.

The Colombo stock index ended 0.17 percent firmer at 6,148.94, its highest close since Jan. 23.

"Bargain hunting in blue chips is continuing. There was some block trades too," said Dimantha Mathew, head of research at First Capital Equities (Pvt) Ltd.

Shares of John Keells Holdings Plc rose 1.01 percent, while Ceylon Tobacco Company Plc rose 0.59 percent.

Turnover stood at 548.9 million rupees ($3.65 million), more than this year's daily average of 623.3 million rupees.

Foreign investors net bought 58.2 million rupees worth of equities on Tuesday. They have net sold 313.1 million rupees worth of shares so far this year.

On Thursday, Fitch Ratings affirmed Sri Lanka's Long-Term Foreign- and Local Currency Issuer Default Ratings (IDR) at 'B+' and revised the outlook to 'stable' from 'negative'.

Sri Lankan stocks have been hit by political uncertainty after ruling coalition parties decided to contest local polls separately, and on worries over a rise in interest rates.

Last week, the country's central bank kept key rates steady for a sixth straight month, but flagged possible "corrective measures" in the months ahead in a sign further tightening might be on the cards to temper inflation pressures and safeguard a fragile rupee.

Yields on treasury bills are hovering at a more than four-year high.

Sri Lanka's stock and foreign exchange markets were closed on Friday for a Buddhist religious holiday. 

($1 = 150.3000 Sri Lankan rupees)

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

Colombo Stock Exchange Market Review – 14th Feb 2017

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Colombo Stock Exchange Trade Summary 14-Feb-2017

Colombo stock market continued to remain positive amid foreign inflows. Benchmark index touched 6,154 mark but close at 6,148.94 while 20-scrip S&P SL index advanced by 11.69 index points or 0.33% to end at 3,532.93.

Index gains were led by John Keells Holdings (LKR 149.90, +1.0%) and Nestle (LKR 2,019.10, +1.0%). Another dividend of LKR 4.75 per share & favourble quarter earnings in Sampath Bank (LKR 271.30, +2.0%) helped the index performance. Gainers outweighed the losers 78 to 59, while 51 stocks remained unchanged.

Daily market turnover was LKR 549mn. Dialog Axiata (LKR 131mn) was the top contributor to the turnover followed by John Keells Holdings (LKR 104mn), Hatton National Bank (LKR 68mn) and Hemas Holdings (LKR 43mn) respectively.

Negotiated deals were seen in Dialog Axiata (5.8mn shares at LKR 11.00), John Keells Holdings (0.4mn shares at LKR 150.00) and Hatton National Bank (0.2mn shares at LKR 228.00 per share).

John Keells Holdings, Pan Asia Bank rights, Adam Investments and Sampath Bank were among highly traded stocks. Meanwhile, Aitken Spence Holdings advanced to LKR 60.50, +0.8% and its subsidiary, Aitken Spence Hotels advanced to LKR 40.50, +1.3% supported by positive earnings in last quarter.

Foreign investors stood on buy side for ninth straight day with a net foreign inflow of LKR 58mn. Foreign participation was 58%. Net foreign inflows were seen in John Keells Holdings (LKR 79mn), Commercial Bank (LKR 12mn) and Nestle (LKR 2mn). Net foreign outflow was mainly seen in Dialog Axiata (LKR 21mn).
Source: LSL