CSE ends the week on a high note as market turnover trebles

Sri Lanka, Nov 02 (Capital Leads) – Despite political undercurrents, the Colombo Stock Exchange posted the highest weekly gain for the year this week while the turnover more than trebled from the week before.

Last Friday, Sri Lankan President, Maithripala Sirisena appointed the former President Mahinda Rajapakse as the new Prime Minister dismissing Ranil Wickramasinghe, the former Prime Minister of the coalition government he led. With Parliament prorogued, Mr. Wickramasinghe refuses to leave office claiming he commands the majority in the house.

However, members of the new cabinet of ministers were sworn in throughout the week with Mr. Rajapaksha being given the portfolio of Finance and Economic Affairs.

ASPI records the highest close in more than a month: Recording its highest weekly gain for the year, the All Share Price Index (ASPI) notched up 4.46 percent to close the week at 6,092.21 points, its highest close since September 12, 2018 and 260.25 points higher than the week before.

Meanwhile, more liquid S&P SL20 Index stood up 211.10 points to end the week at 3,208.43 points, 7.04 percent higher than the previous week.

Turnover more than trebles as on-board contribution picks up: While the number of shares increased up to 222.4 mn of shares from 57.8 mn of previous week, on-board contribution to the turnover jumped to 42 percent from 28 percent with weekly turnover increasing over three times to LKR9.9 bn (USD57.0 mn) from the week before.

CSE records net foreign inflow in more than three weeks: After fifteen long sessions, the market witnessed net foreign inflow on Friday led by foreign interest in banking stocks. However, with turnover picking up, foreign investors offloaded shares worth a net LKR3.9 bn (USD22.2 mn) over the week, extending the year-to-date net foreign outflow to LKR13.6 bn (USD78.4 mn).

JKH leads turnover generation driven by local buying: John Keells Holdings (JKH) leading the daily turnover generation in four of the five sessions of the week, lifted the week’s turnover with 42 percent of contribution as the stock gained 7.78 percent driven by local investor interest.

Furthermore, Commercial Bank (COMB) and National Development Bank (NDB) generating 6 percent and 5 percent of the turnover respectively enjoyed foreign buying with the former gaining 12.33 percent while the latter 3.04 percent.

Generating half of this week’s turnover, diversified holdings gained 7.32 percent leading the sector-wise contribution to the turnover while banks, finance and insurance sector edged up 5.69 percent accounting for 29 percent of the turnover.

For Latest Articles, Financial Models and Research Reports
We hate spam. Your email address will not be sold or shared with anyone else.

Be the first to comment

Leave a Reply

Your email address will not be published.