Colombo bourse regained lost grounds after suffering 2% loss in last three sessions. Benchmark All Share Price index advanced by 58.79 points or 0.83% to end at 7,183.25 while S&P SL 20 index advanced by 22.94 points or 0.59% to end at 3,937.08.

The positive market momentum was driven by price appreciations in primary blue chips such as Dialog Axiata (closed at LKR 11.50, +3.6%), Ceylon Tobacco (closed at LKR 980.00, +1%) and Lion Brewery (closed at LKR 660.00, +4.3%).

Market turnover was LKR 639mn. Hemas Holdings emerged as the top contributor to the turnover with LKR 193mn followed by Nations Trust Bank (LKR 77mn), Vidullanka (LKR 43mn) and Hatton National Bank (LKR 32mn). Several crossings were recorded in Hemas Holdings (1.4mn shares at LKR 88.00 per share), Nations Trust Bank (0.8mn shares at LKR 100.00 per share) and Vidullanka (4mn shares traded at LKR 10.70 per share). Total crossings accounted for 37% of the market turnover.

John Keells Holdings Warrant 0022 continued to attract heavy investor interest, falling to a 52wk low price of LKR 10.20, -11.3% two weeks prior to the cut-off date. However the counter managed to recover and close with higher returns at LKR 12.50, +8.7%. Further, shares of Ceylon Grain Elevator, Hayleys, Three Acre Farms, George Steuart Finance and Lanka IOC were among heavily traded counters.

Market breath was positive with 178 counters rising, 33 declining while 36 counters remained unchanged. Cash map improved from 29% to 53%. 16 counters declined to 52wk low prices.

In addition, crude oil prices started to pick up in last few days as WTI crude oil price reached USD 45.60, an incline of 19% from the low of 38.24 USD recorded in Aug 2015. Despite the increase in crude oil, Lanka IOC advanced today to LKR 41.00, +3.8% but closed at LKR 40.40, +2.3%.

Orient Finance made an announcement to CSE that the CBSL has granted approval to increase the ordinary shares of the company by way of a sub-division with a proportion of 01 into 10.

Ceylon Leather Products announced that Palla & Company (Pvt) Ltd, subsidiary of Ceylon Leather Products have suspended its operations with effect from 31st August 2015.

Foreign investors closed the day on the buying side with a net inflow of LKR 263mn. Foreign participation was 29%. Net foreign inflows were seen in Hemas Holdings (LKR 149mn), Nation Trust Bank (LKR 76mn), and Seylan Bank non-voting (LKR 8mn) while net foreign outflow was mainly seen in Hatton National Bank (LKR 5mn).

Meanwhile, at today’s Treasury bill auction, CBSL has rejected all bids with the intention of exerting downward pressure on interest rates. CBSL offered LKR 24bn worth of Treasury bills today and the auction was oversubscribed by 2.0 times with bids received amounting to LKR 47.2bn.