‘Gaining spree extends with activities reinstated across the board’

Bourse closed in green for the sixth straight day with the bullish sentiment continuing to take charge while investor activities reactivated broadly across all sectors. Index moved with a sizeable volatility during the session, where initially ASPI plunged to an intraday low of 9,606 as profit booking was observed on Banking sector counters after persistent gains made during the previous sessions.

However, index picked up gradually thereafter as tile related counters moved positively with expectations of dividends, following the dividend announcement of TILE amounting to a DPS of LKR 6.50. Meanwhile, high net worth clients displayed interest on selected large cap counters and index heavy weights while ASPI closed for the day at 9,703 gaining 56 points. Meanwhile, market turnover declined but continued to remain at a healthy level of LKR 2.5Bn (+33% cf. monthly average turnover of LKR 1.9Bn) while the top two sectors to dominate were Capital Goods sector (46%) and Materials sector (13%). Moreover, off board transaction of HAYL and MELS further strengthened turnover.

HAYL and RCL led overall turnover while HAYL contributed LKR 285.8Mn (11%), and RCL contributed LKR 202.4Mn (8%). Meanwhile, ALUM dominated the market volume with 13.5Mn shares (14%) while SCAP recorded the second largest volume of 8.0Mn shares (8%). Overall volume dipped compared to the previous session and recorded at 97.5Mn. Foreign investors remained net buyers amidst moderate participation and recorded a net foreign inflow of LKR 21.1Mn. Accordingly, RICH, BUKI and HAYL were the top three shares to lead foreign inflow while MELS, DIAL and TILE were the three counters recording the largest foreign outflow.

First Capital Research