Colombo bourse experienced a lackluster trading session on Thursday ahead of the Indian Prime Minister’s visit after 28 years. Main share index declined slightly by 1.12 index points or 0.02% to end at 7,109.07 while 20-scrip S&P SL index shed 1.91 index points (-0.05%) to close at 4,068.83.

Price depreciations in counters such as Ceylon Tobacco (closed at LKR 1,004.00, -1.7%), Chevron Lubricants (closed at 399.10, -1.3%) and Commercial Bank (closed at LKR 182.00, -0.6%) dragged the index performance to red zone.

Daily market turnover reached a six week low of LKR 492mn. John Keells Holdings managed to reach the top position of the turnover list with LKR 62mn followed by Hatton National Bank (LKR 40mn) and Laugfs Gas (LKR 39mn) respectively. Surprisingly, no crossings were recorded during the session.

Out of 224 counters, 73 advanced, 80 slipped while 71 counters remained unvaried. Cash map marginally dropped to 44% from 45%. 11 counters touched 52wk low price levels.

Eastern Merchants, Regnis Lanka and Sanasa Development Bank were heavily traded during the day. Meanwhile all three counters of John Keells Holdings attracted heavy investor preference. John Keells Holdings main share advanced to LKR 210.00 and closed lower at LKR 207.00 (+1.2%) while both warrants closed with marginal movement. Warrant 23 closed at LKR 44.50 (-0.7%) and warrant 22 counter closed at LKR 31.90 (+0.3%).

Overseas Realty advanced to LKR 26.10 and closed lower at LKR 26.00 (+4.0%) subsequent to the announcement of second final dividend of LKR 0.50 per share (DY-1.9%). Further Asian Hotels & Properties declared an interim dividend of LKR 1.00 and counter closed at LKR 68.00 (+2.9%).

Foreign investors were net buyers for the eighth consecutive day with a net inflow of LKR 5mn. Foreign participation was 24%. Net foreign inflows were seen in John Keells Holdings (LKR 45mn), Laugfs Gas (LKR 31mn), Overseas Realty (LKR 17mn) while net foreign outflow was mainly seen in Seylan Bank (LKR 30mn).

Lanka Securities Research