By Hiran H.Senewiratne
The gloomy external and internal environmental factors put the CSE into negative territory on the previous day, but marginally the market became positive yesterday despite the energy and fuel crisis issue on the internal front and Russia and Ukraine crisis on the external front, stock market analysts said yesterday.
At the commencement of the market it started with a negative note and later turned positive. However, during the last one and a half hours, the market was unable to sustain its momentum due to the negative sentiments of both the local and global scenario, stock market analysts said.
Manufacturing sector counters were down yesterday due to announced power cuts and probable oil price hike in the future. It’s said that crude oil price has risen to US $ 98 per barrel from US $ 80. This also caused some concern among the stock market investors, market analysts said.Sri Lanka’s state-run Ceylon Petroleum Corporation used to maintain two to three weeks of stocks before a currency crisis intensified, but it has now fallen to 5 to 6 days leading to lack of stocks at filling stations, an official said.
Amid those developments both indices were marginally up. All Share Price Index up by 0.93 points and S and P SL20 up by 1.06 points. Turnover stood at Rs 2.8 billion without a single crossing. In the retail market top seven companies that mainly contributed to the turnover were Expolanka Holdings Rs 519 million (1.8 million shares traded), LOLC Finance Rs 242 million (241,000 shares traded), Browns Investments Rs 195 million (14.9 million shares traded), Royal Ceramic Rs 156 million (2.5 million shares traded), Commercial Leasing and Finance Rs 127 million (2.9 million shares traded), LOLC Finance Rs 116 million (5.1 million shares traded) and ACL Cables Rs 108 million (one million shares traded). During the day 103 million share volume changed hands in 32000 transactions.It said high net worth and institutional investor participation was noted in Dialog Axiata, ACL Cables and Sunshine Holdings. Mixed interest was observed in Lanka Orix Finance, Commercial Leasing & Finance and Expolanka Holdings, whilst retail interest was noted in Browns Investments, Industrial Asphalts and SMB Leasing non-voting.
Yesterday, the US dollar rate was quoted in the local market at Rs 202, which was the Central Bank’s controlled price. They have imposed a ceiling of Rs 203 per dollar.However, the actual price in the market would be more that Rs 250 and its rate will touch the Rs 300 level towards the end of the year, financial analysts said.
Sri Lanka’s economic confidence index plummets
‘No one has rated Sri Lanka’s economic condition as excellent. 1.8 % rated it as good and 1.3 % rated it as getting better. The resulting score was a (-) 96. This rating was (-) 83 in January 2022, a wide ranging Verite Research public opinion survey reveals.
Key findings of the survey:
Government approval rating drops from 10% to 3%
The second round of the Gallup Style “Mood of the Nation” poll was conducted in June by Verité Research. It assessed the approval, satisfaction, and confidence of the nation in relation to the government, the country, and the economy.
The poll was conducted as a part of the syndicated survey instrument by Verité Research. This instrument also provides other organisations the opportunity to survey the sentiments of Sri Lanka.
1. Government approval rating | 3% | To the question, “Do you approve or disapprove of the way the current government is working?” only 3% said they approve. In January 2022 this rating was at 10%.
2. Sri Lanka satisfaction | 2% | To the question, “In general, are you satisfied or dissatisfied with the way things are going in Sri Lanka?” only 2% said they were satisfied. This rating was at 6% in January 2022.
3. Economic confidence | negative (-) 96 | Multiple choice questions on the condition and trajectory of the economy are used to generate an economic confidence score. The score can range from negative (-) 100 to positive (+) 100. A score above zero means more people see the economic conditions positively rather than negatively. If everyone thinks the economy is in either excellent or good condition, and everyone also thinks it is getting better, the score will be (+) 10. If everyone thinks that the economy is in a poor condition, and everyone also thinks it is getting worse, the score will be a (-) 100. No one rated the economic condition as excellent. 1.8% rated it as good; and 1.3% rated it as getting better. The resulting score was a (-) 96. This rating was (-) 83 in January 2022.
Implementation of “Mood of
The poll is based on an island wide nationally representative sample of responses from 1,052 Sri Lankan adults, conducted in June 2022. The sample and methodology was designed to ensure a maximum error margin of under 3% at a 95% confidence interval. The polling partner was Vanguard Survey (Pvt) Ltd.
Decline in share market in the wake of rate hike reports
By Hiran H.Senewiratne
CSE trading activities began on a positive note yesterday but during the latter part of the day the market experienced a dip on account of the overall supply chain economy being subjected to a contraction, stemming from the fuel crisis. Consequently, CSE activities were relatively low keyed, market analysts said.
“We are reverting to the negative. There is uncertainty on all fronts, from the political to the economic. Therefore, we are expecting a rate hike on Thursday. This is creating a bit of a cloud and we may see this continuing further, a top market analyst said.
Even if top level decision- making is happening in Sri Lanka the impact is not felt at the grassroots level. This has resulted in unrest in the country, the analyst said.
Amid those developments, both indices moved downwards. The All- Share Price Index went down by 97.9 points and S and P SL20 declined by 34.3 points. Turnover stood at Rs 1.3 billion with one crossing. The crossing was reported in JKH, which crossed 600,000 shares to the tune of Rs 73.2 million, its shares traded at Rs 122.
In the retail market, the top seven companies that mainly contributed to the turnover were; Lanka IOC Rs 611 million (7.3 million shares traded), Expolanka Holdings Rs 173.9 million (one million shares traded). LOLC Holdings Rs 47.4 million (120,000 sha4es traded), Hayleys PLC Rs 46.5 million (697.000 shares traded), Browns Investments Rs 46.3 million (6.4 million shares traded), JKH Rs 21 million (173,000 shares traded) and Softlogic Holdings Rs 20.5 million (794,000 shares traded). During the day 109 million share volumes changed hands in 15000 transactions.
The International Monetary Fund said last Thursday its talks with crisis-hit Sri Lanka had been “constructive”, thereby raising hopes it would soon grant preliminary approval for a desperately needed financial support package, observers said.
Meanwhile, the Colombo Consumer Price index rose 54.6 per cent year-on-year in June against a 39.1 per cent rise in May, according to the Statistics Department.
Yesterday the US dollar rate was Rs 360.73, which is now being controlled due to the prudent fiscal and monetary policies of the Central Bank.
Dialog Club vision members receive access to an exclusive screening of ‘Jurassic World Dominion’
In a bold and breath-taking new global adventure, the epic conclusion to the Jurassic film franchise ‘Jurassic World Dominion’ hit theatres across the world on June 10. Just a day after its global premiere, Dialog Club Vision Red members and their loved ones received special access to an exclusive screening of the film at the Kandy City Centre Multiplex on June 11.
The explosive end to the Jurassic era sees two generations of the film’s franchise unite for the first time with Hollywood’s Chris Pratt and Bryce Dallas Howard joined by Oscar winner Laura Dern, Jeff Goldblum and Sam Neill. Dialog Club Vision members were some of the first to witness the utopian world where Dinosaurs and humans co-exist.
With the best interests of its members and their loved ones at heart, Dialog Club Vision continues to deliver a world of exclusivity and privileges such as personalized care, exclusive discounts and offers, lifestyle and entertainment events and more. To explore more exciting offers available for Dialog Club Vision members, and to learn more about Sri Lanka’s premier loyalty programme, customers can visit the MyDialog App or visit dialog.lk/club-vision
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