Colombo equities continued to remain on red in Tuesday's thin trading session. Benchmark index advanced to 7,158 mark in the morning session but closed below at 7,145.59, down by 2.27 index points (-0.03%). 20-scrip S&P SL index declined below 4,000 mark to close at 3,994.97, down by 12.55 index points or 0.31%.

Price decline in counters such as Distilleries (closed at LKR 270.00, -3.6%), Kegalle Plantations (closed at LKR 85.90, -36.2%) and Aitken Spence (closed at LKR 97.80, -3.0%) dragged the index performance to negative territory.

Daily market turnover dropped to a 6 week low of LKR 335mn. Textured Jersey topped the turnover list with LKR 32mn and counter advanced to fresh 52wk high price of LKR 30.00. Dankotuwa Porcelain (LKR 23mn), LB Finance (LKR 20mn) and Nations Trust Bank (LKR 16mn) were next best contributors to the turnover.

Gainers outweighed the losers, 103 to 77 while 50 counters remained unchanged. Cash map improved to 57% from 49%. Seven stocks declined to 52wk low prices while only Textured Jersey and J.L.Morison Sons & Jones non-voting counters advanced to 52wk high price levels.

Dankotuwa Porcelain was the most traded counter and stock advanced to LKR 14.60 (+8.2%). Further related companies such as Lanka Century Investments and Taprobane Holdings advanced to LKR 13.80 (+2.2%) and LKR 4.50 (+4.7%) respectively.

Heavy trades were witnessed in John Keells Holdings warrant 0022, Textured Jersey Lanka and Kegalle Plantations. Kegalle Plantations dropped sharply on XD date and counter was the top loser of the session.

All the three counters of John Keells Holdings witnessed positive returns. JKH warrants 0022 and 0023 inclined to LKR 22.50 (+7.1%) and LKR 35.70 (+2.3%) respectively.

Convenience Foods and Ceylon Tea Brokers declared first & final dividends of LKR 5.50 and LKR 0.25 per share respectively. Further, Aitken Spence Plantation Management announced interim dividend of LKR 3.00 per share and Swisstek (Ceylon) declared interim dividend LKR 0.50 per share.

Foreign investors were net buyers with a net inflow of LKR 28mn. Foreign participation recorded a 5 week low of 8%. Net foreign inflows were seen in Textured Jersey (LKR 13mn), Lanka Walltiles (LKR 7mn), Hatton National Bank (LKR 5mn) while net foreign outflow was mainly seen Ceylon Guardian Investment (LKR 7mn).

Lanka Securities Research