Colombo equity market started weekly operations on optimistic note where both indices witnessed notable returns. Core index gained 36.03 index points or 0.51% to close on 38 month high of 7,123.44 while 20-scrip S&P SL index gained 36.68 index points or 0.93% to close at 3,969.49. Price appreciations in large caps such as John Keells Holdings (closed at LKR 256.00, +2.4%), Commercial Bank (closed at LKR 158.10, +1.8%) & Overseas Realty (closed at LKR 25.70, +6.2%) contributed favorably to the index performance.

Daily market turnover crossed LKR 1bn mark for the seventh consecutive session where turnover reached LKR 1.9bn. Several off-the-floor dealings were recorded in People’s Leasing & Finance (24.5mn shares at LKR 18.50), Access Engineering (1.0mn shares at LKR 27.50), CIC Holdings (1.0mn shares at LKR 68.00) & John Keells Holdings (0.1mn shares at LKR 255.00). Aggregate value of crossings represented 31% of the total turnover.

People’s Leasing & Finance topped the turnover list with LKR 528mn followed by John Keells Holdings (LKR 353mn) & CIC Holdings (LKR 96mn) respectively.

Out of 285 equities traded, 157 advanced, 79 slipped while 49 remained unvaried. Cash map declined to 58% from 68%. 31 counters touched 52wk high prices.

Bansei Royal Resorts, Lanka IOC, People’s Leasing & Finance attracted heavy investor interest during the session.

Banking sector counters such as Commercial Bank, Sampath Bank, National Development Bank, Sanasa Development Bank, HDFC Bank & Hatton National Bank (non-voting) reached 52wk high price levels.

Foreign investors were net buyers for the eighth successive day with a net inflow of LKR 310mn worth of equities. Bourse managed to attract LKR 1.2bn worth of net foreign inflows so far this month. Foreign participation was 16%. Net foreign inflows were seen in counters such as John Keells Holdings (LKR 310mn), Royal Ceramic (LKR 14mn), Sampath Bank (LKR 14mn) while net foreign outflow was mainly seen in People’s Leasing & Finance (LKR 38mn).

Lanka Securities Research