The Colombo stock market yesterday closed in the red, extending losses into a third straight session as investor sentiment continues to dampen over tensions in the Middle East.
The ASPI ended down 0.29% or 62.50 points at 21,416.57 and the active S and P SL20 was down 0.34% or 20.53 points at 6,020.38.
Market turnover was over Rs. 1.5 billion on over 43.8 million shares traded.
First Capital Research said that against the backdrop of persistent rise in oil prices and unresolved confrontation between the US and Iran, investors adopted a cautious stance. Participation from retail investors was low, thereby HNW and institutional investors were the main contributors to the turnover.
SAMP, BREW, CFIN, BUKI and DIAL were the key negative contributors to the index. Turnover was predominantly supported by crossings. The food, beverage and tobacco sector dominated turnover, accounting for 30%, while the banking and capital goods sectors collectively contributed a further 42%. Foreign investors turned net buyers, posting a net inflow of Rs. 103.2 million.
NDB Securities said the ASPI closed in red as a result of price losses in counters such as Central Finance Company, Dialog Axiata and LOLC Holdings. A similar behaviour was witnessed in the S and P SL20.
High net worth and institutional investor participation was noted in Seylan Bank, Hemas Holdings and Sunshine Holdings. Mixed interest was observed in Dialog Axiata, Nations Trust Bank and Lee Hedges whilst retail interest was noted in HNB Finance, Asia Asset Finance Rights and Asia Siyaka Commodities.
The food, beverage and tobacco sector was the top contributor to the market turnover due to Sunshine Holdings whilst the sector index gained 0.52%. The share price of Sunshine Holdings decreased by 20 cents to Rs. 29.60.
The banking sector was the second highest contributor to the market turnover due to Seylan Bank whilst the sector index decreased by 0.26%. Seylan Bank edged down 10 cents to Rs. 98.80.
Dialog Axiata, Hemas Holdings and Renuka Holdings non-voting were also included amongst the top turnover contributors. Dialog Axiata was down 50 cents at Rs. 46.50, Hemas Holdings gained 10 cents to Rs. 31.50, and Renuka Holdings non-voting declined 10 cents to Rs. 32.30.