Colombo bourse slipped on Wednesday snapping a six day winning streak amid prospective announcement of presidential election. Core index slipped by 23.13 index points (-0.31%) to end at 7,525.10 while S&P SL20 index declined by 16.06 index points (-0.38%) to close at 4,188.81. Price depreciations in stocks such as Carson Cumberbatch (closed at LKR 460.00, -3.1%), Ceylon Tobacco Company (closed at LKR 1,131.00, -1.6%) and Dialog Axiata (closed at LKR 13.60, -2.9%) affected negatively to the index performance.

Daily market turnover was LKR 1.8bn. Access Engineering topped the turnover list for the second consecutive day with LKR 408mn supported by several crossings of 6mn shares at LKR 41.00. Turnover from Access Engineering represented 22% of the market turnover.

Kelani Tyres and People’s Leasing & Finance were among next best contributors to the total turnover with LKR 124mn and LKR 104mn respectively.

Several crossings were recorded in Commercial Credit & Finance (0.6mn shares at LKR 46.50), Tokyo Cement non-voting (1.0mn shares at LKR 50.50), Kelani Tyres (0.7mn shares at LKR 80.00) & People’s Leasing & Finance (2.1mn shares at LKR 25.00). Aggregate value crossings represented 24% of the total turnover.

Out of 278 counters, 138 slipped, 93 advanced while 47 counters remained unchanged. Cash map marginally improved to 49% from 47%. 17 counters reached 52wk high price levels while 5 counters touched 52wk low price levels.

Access Engineering was the most favored counter for the day. Asia Asset Finance, Piramal Glass and Tess Agro were among heavily traded counters and all three counters reached 52wk high price of LKR 2.10, LKR 5.20 and LKR 2.00 respectively.

Meanwhile Sierra Cables announced that the company has divested total shareholding of Central Industries to Mr.D.G.Wijemanne at a price of LKR 80.00 per share. Currently Mr.D.G.Wijemanne holds 13.1% shares in Central Industries. Sierra Cables reached 52wk high price of LKR 3.90 and closed at LKR 3.70 (+2.8%) while Central Industries counter closed lower at LKR 89.90 (-5.0%) during the session.

Finlays Colombo declared the second interim dividend of LKR 1.00 per share and counter closed at LKR 344.50, +1.2%.

Foreign investors closed the day as net buyers for the tenth consecutive day with a net inflow of LKR 145mn worth of equities. Foreign participation was 8%. Net foreign inflows were seen in Hatton National Bank (LKR 54mn), People’s Leasing & Finance (LKR 36mn), Commercial Credit & Finance (LKR 30mn) while net foreign outflows was mainly seen in John Keells Holdings (LKR 17mn).

At today’s weekly primary T-bill auction, 12 month yield remained unvaried at 6.00%. Auction was oversubscribed by 2.8 times while 3 month & 6 month bills were not offered by CBSL.

Lanka Securities Research