US tariff issue continues to exert deleterious impact on local bourse

By Hiran H. Senewiratne

CSE trading began on a positive note yesterday due to a positive economic forecast but during the second session, market activities were a bit slow because of global economic tensions triggered by the US tariff issue, which had a negative impact on local markets as well.

Turnover was significantly lower than the monthly average of Rs. 2.7 billion, indicating subdued market activity. Both indices moved marginally up. The All Share Price Index went up by 12 points, while the S and P SL20 rose by 26.1 points. Turnover stood at Rs 1.25 billion with three crossings.

Those crossings were reported in JKH, where 5.4 million shares crossed to the tune of Rs 108 million; its shares traded at Rs 20, HNB 100,000 shares crossed for Rs 30.3 million; its shares traded at Rs 303 and Access Engineering 700,000 shares crossed for Rs 25.9 million; its shares sold at Rs 77.

In the retail market, top six companies that mainly contributed to the turnover were; Browns Investments Rs 71.3 million (9.9 million shares traded), Hemas Holdings Rs 59.4 million (524,000 shares traded), HNB Rs 56 million (184, 0000 shares traded), Commercial Bank Rs 47.5 million (345,000 shares traded), JKH Rs 37 million (1.8 million shares traded), Aitken Spence Rs 31.4 million (247,000 shares traded) and Sampath Bank Rs 30.9 million (260,000 shares traded). During the day 56.8 million share volumes changed hands in 12823 transactions.

It is said high net worth and institutional investor participation was noted in Browns Investments, JKH and Sampath Bank. Mixed interest was observed in Vallibel One, Hatton National Bank and CIC Holdings, while retail interest was noted in SMB Leasing, Industrial Asphalts and Hikkaduwa Beach Resort.

Meanwhile, DFCC Bank said it has listed 5,746,239 new ordinary voting shares after a scrip dividend.

“Please note that 5,746,239 ordinary voting shares of the Bank have been listed with effect from 19th March 2025, pursuant to a Scrip Dividend,” the bank told CSE sources. The stock was trading up 1.96 percent at Rs 104.00 during late-morning trade, Wednesday.

Yesterday the rupee was quoted at Rs 296.05/20 to the US dollar in the spot market, broadly unchanged from Rs 296.05/15 the previous day, dealers said, while bond yields held steady.

A bond maturing on 01.05.2027 was quoted at 9.13/18 percent, down from 9.15/25 percent. A bond maturing on 15.10.2028 was quoted at 9.90/95 percent, down from 9.90/10.00 percent. A bond maturing on 15.09.2029 was quoted at 10.12/18 percent, from 10.25/30 percent. A bond maturing on 15.10.2030 was quoted at 10.25/35 percent, up from 10.25/32 percent. An auction of Rs 143,000 million Treasury bills was ongoing.