Sri Lanka stocks end 5-day rally to close lower, but some large caps up
ECONOMYNEXT – Sri Lanka’s stock closed 0.97 percent down ending a five day rally amid profit taking but some large cap stocks including still made gains, driving up a sensitive index, brokers said.
Sri Lanka rupee strengthened to close at 187.05/15 at close on May 20.
There were quotes as low as 186.90/05 in intra-day with deals done as low as 187.05, dealers said.
Colombo’s All Share Price Index (ASPI) fell 45.81 points to 4,655.22.
The S&P SL20 Index of more liquid stocks went up by 0.93 percent or 17.49 points to 1,904.14.
Market turnover was 1.5 billion rupees with 49 stocks making gains and 113 stocks falling.
“The market took a reverse turn after trading for the fifth consecutive day with profit taking witnessed in some counters,” an analyst said.
Dealers said the banking sector contributed almost 66 percent to the market turnover with index-heavy, Commercial Bank, Hatton National Bank and Sampath Bank taking the lead.
Meanwhile the number of trades in the last three days have gone about 10,000, the dealers said.
Commercial Bank of Ceylon stocks gained 4.50 rupees, trading at 62.10 rupees a share, contributing most to the ASPI’s gain.
Browns Investment shares climbed 50 cents to 3.10 rupees a share while John Keells Holdings stocks advanced 1.70 rupees to trade at 95.10 rupees a share, also contributing to the ASPI’s gain.
Banks continued to make gains.
However analysts say the June quarter is likely to be painful for banks as well as the broader market and the continuation of the current tax regime also cannot be counted on.
In the secondary government securities market, bond yields remained unchanged with moderate activity, dealers said.
A bond maturing on 10.08.2021 was quoted at the moment at 7.05/20 percent, stable from 7.05/25 percent on Tuesday.
A 2-year bond maturing on 01.10.2022 was quoted at at 7.80/85 percent, steady from 7.80/90 percent.
A bond maturing on 15.01.2023 was quoted at 8.00/8.05 percent, down from at 8.02/10 percent on Tuesday.
A bond maturing on 15.09.2024 was quoted at 8.53/57 percent on Wednesday, falling from 8.55/62 percent on Tuesday.
A bond maturing on 15.10.2027 was quoted at 8.90/95 percent, up from 8.85/93 percent.