Stock market overcome by bearish inertia; turnover drops to Rs. 6.3 billion

By Hiran H. Senevirathne

Stock market activities were extremely bearish yesterday due to global market conditions, especially with US new tariff policies coming into play, and worries that the forthcoming budget would likely impact the corporate sector negatively, market analysts said.

Amid those developments both indices moved downwards. The All Share Price Index significantly dropped by 500 points, while S and P SL20 declined by 175.6 points. Turnover stood at Rs 6.3 billion with six crossings. Those crossings were reported in Ceylinco Insurance, which crossed 294,000 shares to the tune of Rs 940 million and its shares traded at Rs 3200, TJ Lanka 1 million shares crossed to the tune of Rs 55.6 million; its shares traded at Rs 55.50, CCS 450,000 shares crossed for Rs 41.8 million; its shares traded at Rs 93, HNB 100,000 shares crossed for Rs 33.4 million; its shares traded at Rs 334, JKH 1 million shares crossed to the tune of Rs 22.1 million; its shares traded at Rs 22.10 and JAT Holdings 729,000 shares crossed for Rs 20.1 million; its shares traded at Rs 2750.

In the retail market top six companies that mainly contributed to turnover were; Browns Investments Rs 541 million (62.2 million shares traded), JKH Rs 490 million (22.1 million shares traded), Ceylinco Insurance Rs 316 million (95000 shares traded), TJ Lanka Rs 197 million (3.5 million shares traded), HNB Rs 191 million (567,000 shares traded) and Commercial Bank Rs 171 million (1.1 million shares traded). During the day 241 million share volumes changed hands in 41700 transactions. It is said that the banking and financial sector performed well, especially Ceylinco Insurance, while the manufacturing sector also gained with JKH and TJ Lanka.

Yesterday, the rupee was quoted at Rs 299.75/95 to the US dollar in the spot market, weaker from Rs 299.60/75 to the US dollar Monday, dealers said, while bond yields were broadly steady.

A bond maturing on 15.09.2027 was quoted at 9.80/90 percent, up from 9.80/85 percent. A bond maturing on 15.02.2028 was quoted at 10.16/20 percent, up from 10.10/20 percent. A bond maturing on 01.07.2028 was quoted at 10.39/41 percent. A bond maturing on 15.09.2029 was quoted at 10.85/90 percent, up from 10.75/85 percent. A bond maturing on 15.10.2030 was quoted flat at 11.25/30 percent.