CSE records weekly gains amid improved global sentiment

The Colombo Stock Exchange recorded a gain compared to last week, with the ASPI gaining 723 points or 3.3% to close at 22,361, while the S&P SL20 index also recorded a gain of 184 points or 3.1% week-on-week to close at 6,211.

“The positive sentiment surrounding equities during the week was largely backed by positive developments in US and Iran peace talks, a decline in global crude oil prices back to pre-war levels, and the stabilising of the rupee against the US dollar,” said First Capital Research in its weekly review to Hiru News.

Despite the positive movement in both indices, turnover levels in the market continued to remain weak, with average daily turnover for the week standing at a mere LKR 3.0 billion. The low turnover levels were largely a result of lower high-net-worth and institutional investor participation, while retail interest was evident in selected shares.

Meanwhile, during the week under review, banking sector shares saw the most activity, while diversified financials, consumer sector shares, and selected export-oriented shares were among the top traded segments.

Moreover, foreign investors continued to remain net sellers in the market, totalling LKR 353.4 million.

Hemas Holdings and Dialog Axiata recorded the highest foreign outflows during the week.