CSE rebounds nearly 2% as local buying lifts market

The Colombo Stock Exchange began the week higher on Monday, with both benchmark indices gaining nearly 2% as local investors drove a broad-based recovery.

According to the CSE’s Stock Market Daily report for 25 May, the All Share Price Index rose 435.13 points, or 1.98%, to close at 22,364.77, while the S&P Sri Lanka 20 Index gained 118.09 points, or 1.95%, to end at 6,179.10.

The rally helped trim recent losses, although the ASPI remained down 0.82% month-to-date and 1.15% year-to-date. The S&P SL20 was down 0.46% month-to-date but remained marginally positive for the year, with a 0.35% gain.

Market turnover stood at Rs 2.43 billion, below the year-to-date average daily turnover of Rs 4.91 billion. Market capitalisation rose 2.04% to Rs 8.116 trillion from Rs 7.954 trillion in the previous session.

Domestic investors dominated activity, accounting for 98.4% of trading value. Domestic purchases amounted to Rs 2.399 billion, while domestic sales totaled Rs 2.374 billion. Foreign activity remained thin, with purchases of Rs 27.09 million and sales of Rs 51.67 million, resulting in a net foreign outflow of Rs 24.58 million.

Market breadth was strongly positive, with 215 gainers against 27 decliners. Dialog Axiata was the largest positive contributor to the ASPI, followed by Commercial Bank, John Keells Holdings, Sampath Bank, and Hemas Holdings.

Chrissworld led the day’s gainers, rising 24.44%, followed by Paragon, Bansei Resorts, Asiri Surgical, and ACME Printing and Packaging. Autodrome was the steepest loser, falling 6.95%, followed by Tess Agro non-voting shares and hSenid Business Solutions.

Sector turnover was led by capital goods at Rs 366.32 million, followed by food, beverage and tobacco at Rs 359.60 million, diversified financials at Rs 308.28 million, banks at Rs 292.46 million, and materials at Rs 258.06 million.

The CSE report placed the daily indicative exchange rate at Rs 336.88, with CCPI inflation at 2.40% and NCPI inflation at 3.80%. Brent crude was listed at $ 94.85, keeping external price pressures in focus for an import-dependent economy.

Source: The morning