Finance Industry Analysis

Colombo stock market rebounds

The Colombo stock market experienced a resurgence into positive territory, buoyed by an uptick in investor sentiment and robust turnover. The benchmark All Share Price Index (ASPI) climbed by 0.66%, while the active S&P SL20 saw a 0.4% increase. Turnover reached Rs. 2.5 billion, involving a substantial volume of 207.6 million shares.

According to Asia Securities, retail activity in key stocks like BIL, LOFC, LOLC, and AGST contributed significantly to the market’s positive momentum. Notable movements were observed in stocks such as BIL, HAYL, and LOLC, driving gains in the ASPI, while MELS and SAMP saw marginal losses. The market breadth remained positive with 127 price gainers and 95 decliners.

Turnover was led by stocks like BIL, LOFC, and CALT, showcasing improved investor interest in these entities. Despite a net outflow from foreign investors, certain stocks like BIL attracted net foreign buying.

First Capital noted a bullish start to the day, driven by retail investor participation, resulting in the market reaching intraday highs before settling with a substantial gain. Interest was particularly high in index heavyweights like HAYL and LOLC, with increased activity also seen in mid-cap stocks like BIL and CARG.

NDB Securities highlighted the participation of high net worth and institutional investors in stocks such as Sampath Bank, John Keells Holdings, and The Colombo Fort Land & Building. The Food, Beverage, and Tobacco sector led turnover, while sectors like Diversified Financials and Capital Goods also contributed significantly.

Noteworthy share price movements were observed in stocks across various sectors, with Browns Investments, LOLC Finance, Capital Alliance, CIC Holdings, and Central Industries among the top contributors to market turnover. These movements underscored the market’s resilience and the diverse range of investor interests driving the Colombo stock market’s rebound.