Colombo Bourse turnover hits new yearly low as ASPI extends losses

The Colombo Bourse extended its losses today, with the All Share Price Index (ASPI) falling 0.50% to close at 21,424.99, while the more liquid S&P SL20 Index declined 0.42% to 5,997.00. The ASPI's year to date loss widened to 5.30%, while the S&P SL20 is now down 2.60% for the year.

Investor sentiment remained weak amid rising global oil prices, following renewed geopolitical tensions in the Middle East. Brent crude futures climbed to USD 87.35 a barrel after the United States reinstated its naval blockade of Iranian ports and imposed a 20% fee on cargo transiting the Strait of Hormuz under US military protection. Despite concerns over oil prices, most major Asian stock markets closed higher.

Market breadth remained firmly negative with 51 gainers against 140 losers. The decline in the ASPI was mainly driven by Melstacorp PLC, Vallibel One PLC and John Keells Holdings PLC.

Turnover fell to Rs. 1.09 billion, marking the lowest daily turnover of the year, only marginally above yesterday's Rs. 1.04 billion, and well below the year to date daily average of Rs. 4.23 billion.

Trading activity was led by Lanka IOC PLC, Ceylon Cold Stores PLC and Dipped Products PLC, while the Banking, Food and Beverage, and Materials sectors accounted for the highest level of market activity.