Colombo bourse witnessed another lackluster trading session on Friday to wrap the weekly activities on negative note. ASI declined by 9.71 points or (-0.14%) to end at 7,020.74 while S&P SL 20 index declined by 9.42 points (-0.25%) to end at 3,773.71.

Price depreciations in counters such as Bukit Darah (closed at LKR 600.00, -3.2%), C T Holdings (closed at LKR 135.30, -3.3%) and People’s Leasing (closed at LKR 20.50, -2.4%) contributed adversely to the index performance.

Market turnover recorded a one month low of LKR 525mn. Lanka Century Investments topped the turnover list with LKR 52mn followed by John Keells Holdings (LKR 44mn), Hayleys Fiber (LKR 32mn) and Distilleries (LKR 31mn). No crossings were recorded today.

Further, shares of Lanka Century Investments, Colombo City Holdings, Hayleys Fiber and Ceylon Grain Elevators traded heavily during the session. Market volatility declined to a 3-week low of 21mn shares.

Despite negative market sentiment 102 counters rose, 90 counters declined while 59 counters remained unchanged. Cash map advanced from 44% to 51%. 04 counters recorded 52wk high prices while 27 counters recorded 52wk low prices.

Colombo City Holdings (PHAR) recorded a fresh 52wk high price of LKR 1,049.90 in today’s session but closed lower at LKR 950.00, +12.4%. Further related companies of PHAR, namely Lanka Century Investments (closed at LKR 14.10, +0.7%), Dankotuwa Porcelain (closed at 11.60, +6.4%), Browns & Company (closed at LKR 104.00, +2%) and Ceylon Leather Products (closed at LKR 85.00, +8.6%) recorded gains in the session.

Meanwhile Janashakthi Insurance announced that they have obtained the shareholder approval for the right issue at the EGM held today.

Foreign investors remain as net buyers for three days in a row with a net foreign inflow of LKR 37mn. Foreign participation advanced from 18% to 23%. Net foreign inflows were seen in Distilleries (LKR 16mn), ACL Cables (LKR 9mn) and Hayleys (LKR 6mn) while net foreign outflow was mainly seen in Aitken Spence (LKR 9mn).

During the week ASI declined by 75.32 points or 1.06% while S&P SL 20 index dropped by 46.09 points or 1.21%. Colombo City Holdings (+35%), Dankotuwa Porcelain (+13%) and Lanka Century Investments (+10%) were among the top gainers of the week while Adam Investments (-11%), Aitken Spence Hotel Holdings (-7%) and Overseas Realty (-6%) were among the top losers.

The average weekly turnover declined notably by 11% to LKR 844mn. Dialog Axiata topped the weekly turnover list with LKR 506mn followed by Commercial Bank (LKR 356mn) and John Keells Holdings (LKR 207mn).

The foreign investors stood on the buying side for the week recording a net foreign inflow of LKR 317mn. Foreign activity remains unchanged at 23%. Net foreign inflows were mainly seen in Dialog Axiata (LKR 335mn), Cargills (Ceylon) (LKR 52mn) and Hatton National Bank (LKR 50mn) while net foreign outflows were mainly seen in John Keells Holdings (LKR 44mn) and Hatton National Bank non-voting (LKR 30mn). Subsequent to this week’s net foreign outflow, year-to-date net foreign outflow declined from LKR 3.1bn to LKR 2.7bn.

Lanka Securities Research