ECONOMYNEXT – Sri Lanka stock index touched a fresh record closing high on Wednesday as investor sentiment was bullish on the risky assets on earning hopes after companies reported better-than-expected profits, brokers said.
The gain was led by Commercial Leasing and Finance (CLC) and the day’s gain saw the company becoming the market heavyweight valued at with 452 billion rupees, surpassing Expolanka holdings, a cross-border freight forwarder.
The Colombo benchmark All Share Price Index (ASPI) hit a fresh record high of 10,510.85 in the early session, but closed 1.37 percent or 140.31 points higher at 10,412.02, its fresh all-time closing high.
The S&P SL20 index of more liquid stocks, however, fell 0.33 percent or 11.96 points to close at 3,656.60.
“Commercial Leasing and Finance boosted the market. Investors are bullish on all the September quarter earnings,” a broker said.
“Since interest rates are low, this trend will continue until the end of the earning season.”
The day’s turnover was 6.1 billion rupees, well above this year’s average daily turnover of over 4 billion rupees.
Foreign investors sold a net of 21 million rupees’ worth of shares, extending the net foreign inflow to 46.02 billion rupees so far this year. Brokers had expected foreign investors to exit after Moody’s Investor Service downgraded Sri Lanka’s sovereign credit rating last week to near default category.
LOLC Finance and Buki Darah also contributed to the ASPI gain.
Commercial Leasing and Finance, which accounted for more than 90 percent of the day’s gain, jumped 20.34 percent to close at 70.00 rupees a share.
LOLC Finance gained 5.10 percent to close at 10.30 rupees a share and Buki Darah gained 3.89 percent to close at 401.00 rupees.
Market heavy weights, Expolanka holdings fell 1.81 percent to close at 203.25 rupees .
The bourse saw 86 stocks gaining against 101 falling on Wednesday. (Colombo/Nov 03/2021)