Sri Lankan shares close below key level of 6,500

Reuters: Sri Lankan shares closed below a key psychological level of 6,500 on Thursday in thin trade as most investors stayed on the sidelines awaiting directions from corporate results and the budget scheduled for early next month.

The benchmark index of the Colombo Stock Exchange fell for a fourth straight session and ended 0.35 percent weaker at 6,487.13, its lowest close since Sept. 27. It has shed 1.45 percent in the past four sessions.

"Investors will wait for clear directions on capital gain tax (in the budget)," said Prashan Fernando, CEO at Acuity Stockbrokers. "So until the budget, we may see low-volume trade."

Turnover was 372.2 million rupees ($2.54 million), less than half of this year's daily average of around 750 million rupees.

Foreign investors, who have sold a net 2.37 billion rupees ($16.19 million) worth of shares so far this year, bought a net 88.7 million rupees worth equities.

Trading volumes have been low as cautious investors waited for announcements of corporate results for the September quarter starting later this month and for direction on economic policy when the country's budget is unveiled early November, brokers said.

Top conglomerate John Keells Holdings fell 1.36 percent, while private lender Commercial Bank of Ceylon dropped 0.47 percent.

($1 = 146.3700 Sri Lankan rupees) (Reporting by Shihar Aneez; Editing by Subhranshu Sahu)

Colombo Stock Exchange Market Review – 13th Oct 2016

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Colombo Stock Exchange Trade Summary 13-Oct-2016

Colombo equity market concluded another lackluster trading session on Thursday with both indices closing on negative territory for the fourth straight session. All share index down by 23.05 index points or 0.35 % to end at 6,487.13 while S&P SL20 index lowered by 22.60 index points or 0.62% to conclude at 3,615.48.

Price declines in high caps namely John Keells Holdings (closed at LKR 152.70, -1.4%), Ceylon Cold Stores (closed at LKR 616.30, -2.6%) and Dialog Axiata (closed at LKR 11.40, -0.9%) impacted the index negatively.

Daily market turnover was LKR 372mn. Top turnover for the day was recorded in Commercial Bank with LKR 72mn. National Development Bank (LKR 51mn), Ceylon Tobacco (LKR 45mn) and John Keells Holdings (LKR 30mn) were among contributors to the turnover.

Off-the-floor dealings were recorded in Commercial Bank (0.4mn shares at LKR 148.00), National Development Bank (0.3mn shares at LKR 165.00) and Ceylon Tobacco (0.05mn shares at LKR 850.00). Accordingly, aggregate value of crossings accounted for 41% of the turnover.

Market breadth was negative where out of 206 stocks, 102 slipped, 30 advanced while 74 remained unchanged. High investor activity was witnessed in Access Engineering, Teejay Lanka and John Keells Holdings.

Meanwhile, Chevron Lubricants declared a fourth interim dividend of LKR 3.50 per share. Counter closed the day with a loss of 0.6% at LKR 168.00.

Foreign investors were net buyers for the day with a net foreign inflow of LKR 89mn. Foreign participation was 28%. Net foreign inflows were seen in Commercial Bank (LKR 69mn), Nations Trust Bank (LKR 11mn), Bairaha Farms (LKR 6mn) while net foreign outflow was mainly seen in Tokyo Cement (LKR 2mn).

Source: LSL

Colombo Stock Exchange Market Review – 12th Oct 2016

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Colombo Stock Exchange Trade Summary 12-Oct-2016

Colombo bourse concluded the session with negative returns on Wednesday. The ASI closed red for the third consecutive day with a loss of 28.10 index points (0.4%) at 6,510.18. The S&P SL 20 index closed at 3,638.08, a drop of 12.01 index points or 0.3%.

Price decline in Sri Lanka Telecom (LKR 37.10,-1.9%), Ceylon Tobacco (LKR 850.50,0.8%), Hatton National Bank (LKR 228.00,-1.3%) and John Keells Holdings (LKR 154.80,-0.4%) impacted adversely to the index performance.

Daily market turnover was LKR 609mn. Top contributions to the turnover came from LB Finance (LKR 232mn) supported by a crossing of 1.6mn shares at LKR 127.00. Further, HNB- voting made a contribution of LKR 72mn with a crossing of 0.3mn shares at LKR 229.00. Teejay Lanka (LKR 60mn) and Hemas Holdings (LKR 36mn) made noteworthy contributions to the turnover.

Market sentiments were mostly negative with losers outweighing gainers 109 to 27. Retail investor activity was concentrated on Bogala Graphite, Teejay Lanka and Tokyo Cement – nonvoting.

Foreign investors were net buyers with a net inflow of LKR 270mn. Foreign participation was 34% Top net inflows were seen in LB Finance (LKR 203mn), Teejay Lanka (LKR 46mn) and HNB – voting (LKR 13mn). Top net outflows were mainly seen in Richard Peiris & Co (LKR 1mn).

Source: LSL

Sri Lankan shares end at 2-week low ahead of corporate results

Reuters: Sri Lankan shares hit a two-week closing low on Wednesday, their third straight session of losses, as increased risk appetite by foreign investors failed to offset selling pressure on index heavyweights and financials ahead of corporate results.

Trading volumes were moderate as cautious investors waited for announcements of corporate results for the September quarter starting later this month and for direction on economic policy when the country's budget is unveiled early November, brokers said.

The benchmark index of the Colombo Stock Exchange ended 0.43 percent weaker at 6,510.18, its lowest close since Sept. 27.

"Similar sentiment will prevail until the next month budget," said Prasad Fernando, CEO at Acuity Research.

Turnover was 609.3 million rupees ($4.16 million), less than this year's daily average of around 750 million rupees.

Foreign investors, who have sold a net 2.46 billion rupees worth of shares so far this year, bought a net 270 million rupees worth equities on Wednesday.

Top fixed-line phone operator Sri Lanka Telecom lost 1.85 percent, while John Keells Holdings fell 0.39 percent.

Hatton National Bank and L B Finance, both of which accounted for around 50 percent of the turnover mainly due to purchases by foreign investors, ended 1.34 percent and 0.08 percent weaker, respectively.

($1 = 146.3700 Sri Lankan rupees)

(Reporting by Shihar Aneez; Editing by Biju Dwarakanath)

Colombo Stock Exchange Market Review – 11th Oct 2016

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Colombo Stock Exchange Trade Summary 11-Oct-2016

Colombo stock market declined for second straight day despite foreign inflows to selected blue chips. Benchmark index closed at 6,538.28, down by 24.22 index points or 0.37% after touching 6,562 mark in the opening hours. High cap constituent, S&P SL 20 index shed 11.14 index points or 0.30% to end the session at 3,650.09.

Price depreciation in premier blue-chip, John Keells Holdings (closed at LKR 155.40, -1.3%) and its subsidiaries, Ceylon Cold Stores (closed at LKR 625.10, -2.6%) and Asian Hotels & Properties (closed at LKR 60.00, -3.2%) impacted the index negatively.

Daily market turnover was LKR 604mn. Commercial Bank was the top contributor to the turnover with LKR 217mn underpinned by a single crossing of 1.2mn shares at LKR 150.00. Counter accounted for 36% of the total turnover. 

Hatton National Bank (LKR 40mn), Tokyo Cement (LKR 33mn) and Seylan Developments (LKR 29mn) were among top contributors.

Losers outweighed the gainers 93 to 38, while 78 remained unchanged. High investor activity was witnessed in Seylan Developments, Commercial Credit & Finance and Tokyo Cement.

Foreign investors stood on buy side with a net foreign inflow of LKR 246mn. Foreign participation was 26%. Net foreign inflows were seen in Commercial Bank (LKR 196mn), Hatton National Bank (LKR 26mn), Teejay Lanka (LKR 18mn) while net foreign outflow was mainly seen in Hemas Holdings (LKR 14mn).

Source: LSL

Sri Lankan shares fall for 2nd session, led by John Keells

Reuters: Sri Lankan shares ended weaker for a second straight session on Tuesday, led by top conglomerate John Keells Holdings, though foreign investors' buying and gains in financials helped to cap the fall.

Trading volume was low as cautious investors awaited direction from the budget and September-quarter corporate results.

The benchmark index of the Colombo Stock Exchange finished 0.37 percent weaker at 6,538.28, its lowest close since Sept. 30.

"There was a bit of interest in the banking sector. But the overall market is still struggling with not many people ready to invest as tight liquidity has driven up market interest rates," said Dimantha Mathew, head of research, First Capital Equities (Pvt) Ltd.

"Outlook is mixed with expectations of better earnings for the last quarter and rising fixed-income returns ahead of the budget. Not many people are in for medium- to long-term investments at the moment. The market will move sideways until the budget."

Turnover was 603.7 million rupees ($4.12 million), less than this year's daily average of around 750 million rupees.

Stockbrokers said the market might see lower trading volumes as many investors await direction from the budget, scheduled on Nov. 10, and the government's long-term economic policy announcement.

A number of companies are expected to report their September-quarter results later this month, stockbrokers said.

Foreign investors, who have sold a net 2.73 billion rupees worth of shares so far this year, bought a net 246.3 million rupees worth of shares on Tuesday.

Shares of John Keells Holdings fell 1.3 percent.

Banking shares gained with top lender Commercial Bank of Ceylon rising 0.47 percent and Hatton National Bank climbing 0.87 percent.

($1 = 146.3700 Sri Lankan rupees) 

(Reporting by Shihar Aneez; Editing by Subhranshu Sahu)

Colombo Stock Exchange Market Review – 10th Oct 2016

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Colombo Stock Exchange Trade Summary 10-Oct-2016

Colombo bourse closed lower on Monday amid lackluster trading session. All Share index declined by 19.84 index or 0.30% to end at 6,562.50 while 20-scrip S&P SL index marginally dipped by 3.25 index points or 0.09% to close at 3,661.23.

Price depreciations in Nestle Lanka (closed at LKR 2,013.00, -4.2%), Ceylon Tobacco (closed at LKR 865.00, -0.6%) and Commercial Credit & Finance (closed at LKR 65.60, -3.5%) drove the index down. Ceylon Cold Stores (closed at LKR 641.70, +1.6%) and Asian Hotels & Properties (closed at LKR 62.00, +3.2%) contributed positively to the index.

Daily market turnover was LKR 336mn. John Keells Holdings (LKR 48mn) was the top contributor to the turnover with LKR 48mn followed by Ceylon Tobacco (LKR 46mn), Lanka Developments (LKR 28mn) and Tokyo Cement (LKR 28mn). No crossings were recorded during the day. 

Market breadth was negative where out of 215 stocks, 78 slipped and 48 advanced. Lankem Developments attracted high investor attention and counter closed with a gain of 11.6% at LKR 4.80. Seylan Developments, Commercial Credit & Finance and Galadari Hotels witnessed heavy investor activity.

Foreign investors were net sellers with a net outflow of LKR 8mn. Foreign participation was 29%. Net foreign outflows were seen in Tokyo Cement (LKR 15mn), Nestle Lanka (LKR 6mn), Seylan Developments (LKR 1mn) while net foreign inflow was mainly seen in Sampath Bank (LKR 3mn).

Source: LSL