The Colombo stock market remained bearish with net foreign inflows year to date crossing the Rs. 20 billion mark yesterday, whilst indices began the fresh week positively.
The active S&P SL20 Index gained by 1.25% and the benchmark ASPI by 0.8%. Turnover was Rs. 2,.93 billion involving 111.3 million shares.
Foreigners recorded a net inflow of Rs. 876.2 million with Expolanka Holdings seeing most net buying worth Rs. 732 million whilst selling topped in BFL at Rs. 1.1 million.
With yesterday’s net buying the amount so far in December is Rs. 2.8 billion and pushed the year to date figure to Rs. 20.4 billion, highest since 2013 Asia Securities the indices closed in green for the seventh consecutive session supported by price gains in EXPO (+5.9%), LOLC (+3.0%), LOFC (+1.3%), BIL (+6.9%), and LIOC (+1.2%).
Turnover was driven by continued foreign buying in EXPO (Rs. R 1,163mn). Following a 60-point gap-up, the ASPI hovered in the range of 8,800-8,825 in early trading due to price losses in SAMP (-6.3%), CFVF (-1.0%), FCT (-2.0%), and ACL (-1.3%). Thereupon, the index resumed its upward momentum and touched a high of 8,862 (+92 points) before settling at 8,844 (+74 points). The breadth of the market closed positive with 120 price gainers and 74 decliners.
The First Capital Research said commencing the week, ASPI continued to settle firmly in the green as investors were optimistic about the Paris Club creditors’ proposal of a 10-year moratorium on Sri Lankan debt to resolve the financial crisis.
It said the investor sentiment further strengthened on the improved tourism earnings upon an increasing number of arrivals surpassing the 59,000 mark in November recording the highest since April. Even though the index showed significant volatility until midday, it eventually rallied and ended the day at 8,844.
NDB Securities said high net worth and institutional investor participation were noted in Expolanka Holdings. Mixed interest was observed in Lanka IOC, Aitken Spence and John Keells Hotels whilst retail interest was noted in Browns Investments, LOLC Finance and SMB Leasing.
The transportation sector was the top contributor to the market turnover (due to Expolanka Holdings) whilst the sector index gained 5.90%. The Expolanka Holdings share price increased by Rs. 11.50 (5.91%) to close at Rs. 206. Food, Beverage and Tobacco sector was the second highest contributor to the market turnover (due to Browns Investments) whilst the sector index increased by 0.91%.
The share price of Browns Investments moved up by 50 cents (6.94%) to close at Rs. 7.70. Lanka IOC, Aitken Spence and John Keells Hotels were also included among the top turnover contributors. The share price of Lanka IOC gained Rs. 2.50 (1.21%) to close at Rs. 209.25. The share price of Aitken Spence recorded a gain of Rs. 4.50 (3.21%) to close at Rs. 144.50. The share price of John Keells Hotels appreciated by 70% cents (4%) to close at Rs. 18.20.
FT