Market ends broadly flat amidst profit booking

Bourse closed flat with a mixed sentiment during the day as profit taking wiped off gains made during the first half of the session.

Index opened on a positive note with a gain of +100 points, largely backed by index-heavy banking sector counters which continued to rally during the first half of the session with IMF support expected in the near future. Meanwhile, revitalized interest from high net-worth individuals was witnessed on LIOC following the news on the QR system for fuel being cancelled in the coming months. Positive sentiment persisted on bluechip counters such as JKH and HHL with perceptible foreign interest.

However, towards the second half of the session profit booking dragged the index down but however recouped losses and closed in green with a marginal gain of 14 points supported by NDB following the positive earnings while NEST too contributed largely as investor interest loomed after the high dividend payout announcement. However, market turnover dipped low compared to the previous session and recorded at LKR 1.8Bn (-4% cf. monthly average turnover of LKR 1.9Bn) led by a joint contribution of 45% from the Capital Goods sector (33%) and Energy sector (12%).

First Capital Research