The Bourse ended the week on a mixed note as the ASPI increased by 191.13 points (or 3.26%) to close at 6,050.17 points, while the S&P SL20 Index decreased by 27.65 points (or 1.11%) to close at 2,454.43 points.
Turnover & Market Capitalization
HNB was the highest contributor to the week’s turnover value, contributing LKR 1.31Bn or 12.66% of the total turnover value. Expolanka followed suit, accounting for 12.54% of turnover (value of LKR 1.30Bn) while Hayleys Fabric contributed LKR 0.67Bn to account for 6.49% of the week’s turnover.
Total turnover value amounted to LKR 10.36Bn (cf. last week’s value of LKR 13.48Bn), while daily average turnover value amounted to LKR 2.59Bn (-3.97% W-o-W) compared to last week’s average of LKR 2.70Bn. Market capitalization meanwhile, increased by 3.04% W-o-W (or LKR 77.45Mn) to LKR 2,624.18Bn cf. LKR 2,546.73Bn last week.
Liquidity (in Value Terms)
The Banks Industry Group was the highest contributor to the week’s total turnover value, accounting for 23.79% (or LKR 2.46Bn) of market turnover. Industry Group’s turnover was driven primarily by HNB, Sampath, Commercial Bank which accounted for 80.59% of the sector’s total turnover.
The Capital Goods Industry Group meanwhile accounted for 13.35% (or LKR 1.38Bn) of the total turnover value, with turnover driven primarily by JKH & Hemas Holdings which accounted for 53.80% of the sector turnover.
The Materials Industry Group was also amongst the top sectorial contributors, contributing 12.75% (or LKR 1.32Bn) to the total turnover, with turnover driven by Tokyo Cement[X] & Tokyo cement.
Liquidity (in Volume Terms)
The Materials Industry Group dominated the market in terms of share volume, accounting for 33.49% (or 247.43Mn shares) of total volume, with a value contribution of LKR 1.32Bn. The Transportation Industry Group followed suit, adding 14.82% to total turnover volume as 109.46Mn shares were exchanged.
The Industry Group’s volume accounted for LKR 1.30Bn of total market turnover value. The Diversified Financials Industry Group meanwhile, contributed 85.52Mn shares (or 11.57%), amounting to LKR 0.77Bn.
Top Gainers & Losers
Bukit Darah was the week’s highest price gainer; increasing 55.6% W-o-W from LKR297.70 to LKR463.10 while Bimputh Finance (+43.3% W-o-W), York Arcade (+42.2% W-o-W) and HVA Foods (+36.9% W-o-W) were also amongst the top gainers.
Blue Diamonds[NV} was the week’s highest price loser; declining 25.1% W-o-W to close at LKR0.30. Asiri (-15.4% W-o-W), Commercial Dev. (-9.0% W-o-W) and Renuka Hotels (-7.1% W-o-W) were also amongst the top losers over the week.
Foreign investors closed the week in a net selling position with total net outflow amounting to LKR 1.99Bn relative to last week’s total net outflow of LKR 1.50Bn (-32.7% W-o-W). Total foreign purchases decreased by 75.9% W-o-W to LKR 0.23Bn from last week’s value of LKR 0.94Bn, while total foreign sales amounted to LKR 2.22Bn relative to LKR 2.44Bn recorded last week (-9.1% W-o-W). In terms of volume, Union Bank & Sierra Cables led foreign purchases while Industrial Asphalts & HNB led foreign sales. In terms of value, CIC & Cold Stores led foreign purchases while HNB & JKH led foreign sales.
Dividend Announcements
Company DPS(Rs.) Dividend Type Date(XD); HAYCARB PLC 5.00 Second Interim 12/10/2020 TALAWAKELLE TEA 2.00 Second Interim 12/10/2020 DIPPED PRODUCTS 3.00 Second Interim 09/10/2020.
Key Economic Indicators August; Prime Lending Rate - 7.01%, Ave. Wtd. Deposit Rates - 6.44%, Ave. Wtd. Fixed Dep. Rates - 7.9%, CCPI Inflation Y-o-Y % (Base 2013) - 4.1%.
CSE Shrugs-Off Moody’s Downgrade
Despite taking a slight mid-week breather amid a rating downgrade by Moody’s Investor Services, positive retail-driven momentum pushed the benchmark index above the psychological mark of 6,000 index points this week. Consequently, the Bourse ended the week on a mixed note as the ASPI increased by ~191 points (or +3.3% W-o-W), while the S&P SL20 Index decreased by ~28 points (or -1.1% W-o-W).
A sharp 169 point jump in the ASPI led the benchmark index to cross the 6,000 mark at its close on Monday as heavy buying interest in Carsons Cumberbatch (+24.8% W-o-W) and its parent, Bukit Darah (+55.6% W-o-W) supported Monday’s rally after the former announced that the Group would sell its 83.97% stake in Guardian Capital Partners to Singapore-based Gazelle Asset Management last week. Hence, both stocks collectively contributed 35% to this week’s 191 point index gain.
However, the market rally was dampened by Moody’s decision to downgrade Sri Lanka’s sovereign rating by two notches (from B2 to Caa1 with a stable outlook) citing the i) slow pace of reform implementation, ii) tighter external financing conditions, and iii) Sri Lanka’s deteriorating fiscal position. The foreign sell-off from the Colombo Bourse also intensified on Tuesday amid news of the rating downgrade which contributed to a total net foreign outflow of Rs. 2.0Bn this week (cf. Rs. 1.5Bn last week). Despite the mid-week drop, buying interest in EXPO, CLC, and LOLC led the benchmark index to trim earlier losses as the ASPI recorded a gain of 65 points to hit a 9-month high of 6,050.17 points at its close on Friday. This week’s rally also added to the ~656 point (12.3% M-o-M) gain over September.
0 comments: