Saturday, December 25, 2010

Santa gifts Rs. 66 b value to Bourse

The Colombo stock market literally benefited from Santa Claus and Christmas cheer with value gaining by Rs. 66 billion in a shortened trading week.

Largely on improved sentiment which fuelled a buying spree along with return on bargain hunters saw Colombo Bourse gain by 3% in terms of ASPI movement and 2% on ASPI.

Market capitalisation which was Rs. 2,118 billion last week ended at Rs. 2,184 billion showing an increase of Rs. 66 billion.

It was the first gain since the week ended 3 December and the rebound aided by both active foreign and local play was a sigh of relief. Most analysts feared the worse if equity investors at large were to wake up for Christmas with the market in the red.

Welcome gain this helped the ASPI to finish the week with a year to date gain of 93.7% as against a growth of 87.8% last week. MPI’s gain moved back to over 81% higher in comparison to 77.5% last week.

“The abridged trading hours saw the market rally on, to lift the indices up as well, ahead of Christmas,” said NDB Stockbrokers adding accumulation by retail investors was witnessed on certain counters throughout the week.

Yesterday Diversified and Beverage, Food and Tobacco sectors were the highest contributors to the market turnover while sector indices increased by 1.03% and 0.15% respectively.

Premier conglomerate John Keells Holdings made the highest contribution to the market turnover with a crossing of 1,000,000 shares at Rs. 304 while the share price increased by Rs. 2.50 (0.83%) and closed at Rs. 302.

Aitken Spence and Co. also contributed to the market turnover with four crossings of 1,210,000 shares at Rs. 168 although the share price decreased by Rs. 3.50 (2.01%) and closed at Rs. 171.

Acuity Stockbrokers said during the week the oil palms sector indices gained 8410.18 points or increase of 9.2% week on week while Investment Trusts and Services sector indices moved by 4.2%.

The upward thrust of the indices was backed by all other sectors apart from Construction Engineering which was the only sector that moved down by 50.24 points against last week. Value of turnover decreased by 37% against last week’s Rs.11.36 bn to close the week at Rs.7.10 bn with a 14% decline in volumes traded against last week. Market capitalisation recorded at Rs.2.1 bn with 25 P/E Ratio and PBV multiples of 3.

The week’s highest turnover value was generated by the diversified sector at Rs.2.6 bn accounting for 36.7% of the total turnover value, with a volume of 19.17 mn shares or 8% of Turnover volume. JKH and Aitken Spence were the main contributors to this sector. Highest turnover in terms of volume was from the Banking and Finance sector which accounted for 51.56% of total turnover volumes this week. Janashakthi and SMB Leasing were the main contributors to the Bank and Finance sector turnover volume.

Manufacturing sector generated a Turnover volume of 37mn or 15.47% buoyed by activity in Piramal Glass and Grain Elevators.

JKH accounted for the highest contribution to the market turnover with Rs.2.1 bn, accounting for 30% of total value of market turnover. JKH closed at Rs.302.50.  Bairaha Farms witnessed a turnover of Rs.574 mn with the scrip closing at Rs.267. Commercial Bank and Grain Elevators represented 5.22% and 5% of market turnover this week.

S M B Leasing (voting) placed highest scrip traded during the week representing 21% of aggregate market volume. Piramal Glass and S M B Leasing (Non Voting) were active stocks in the market with 15.3 mn and 8.3 mn shares changing hands respectively. The week saw several counters such as Bukit Darah and Carsons capitalisation of reserves.

Foreign activity levels were high this week with both buying and selling seeing improvements week on week. With JKH being one of the counters which attracted their interest, foreigners remained net sellers once again, with total sales amounting to Rs.1.77 bn as against the Rs. 1.53 bn recorded last week, an increase by 15% week on week. Foreign buying was Rs.1.15 bn this week as against last week’s Rs. 502 mn, an increase of 122% from that recorded last week.

Confifi Hotel emerged as the week’s top gainer recording an increase of 26.9% on the scrip price which closed at Rs.279.20. Coco Lanka (Non Voting) and Bairaha Farms reflected a northward momentum closing at Rs.50.90 and Rs.267.00 respectively. Colombo Investment Trust was the top loser of the week with a dip of 16.5% on the share price to close at Rs.176 as against last week’s Rs.210.80. Finlays Colombo and Tea Services were the other losers, with the scrips closing at Rs.175 and Rs.700.10 respectively.

source - www.ft.lk

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