Sri Lanka Business News | Online edition of Daily News

Market surges on the dawn of lasting peace

Stocks at the Colombo Stock Exchange (CSE) surged on the victories achieved by the Government of Sri Lanka against the LTTE with the organisation’s top leadership being wiped out in combat.

The ASPI, which tracks the movement of all the stocks listed in the CSE gained 123 points (+6.5 percent) to close at 2,031. The MPI, which tracks the most liquid stocks at the exchange, gained 162 points (+7.8 percent) to close at 2,230.

This is the sixth highest daily percentage growth recorded by the ASPI in CSE history, surpassing the 5.95 percent growth recorded by the index in November 2003. The MPI too reached record levels yesterday by recording the fifth highest percentage growth in history.

The turnover for the day reached Rs. 1.2 billion, with 43.1 million shares changing hands. A total of 11,539 trades took place yesterday, the fourth highest ever number of trades to have been executed at the CSE, surpassing 11,369 trades executed in October 2007.

The exceptional growth of the ASPI during the day brought the index growth for the current year up to 35.1 percent, while the MPI growth for the year to date stands at 36.7 percent.

The gainers were lead by Miramar Beach Hotel (+33 percent) Taj Lanka Hotel (+22 percent) and John Keells Hotels (+19 percent).

Sector wise the biggest gains were seen in the diversified sector which appreciated 11 percent on turnover of Rs 419 million. John Keells Holdings jumped a massive Rs 13.25 (19 percent) to close the day at Rs 92.25 on turnover of Rs 375 million.

The company which has interests in ports, tourism, retail, food and beverages, financial services and property is seen as a proxy for investment in the country.

Aitken Spence and Company, also equally well diversified saw its share close at Rs 365.00 gaining Rs 29.25 (+8.7 percent) on a turnover of Rs 26.3 million. Richard Pieris Rs 3.25 (11percent) to Rs 32.5 on turnover of Rs 6 million. RPC has interests in plantations, manufacturing, modern trade and trading. Hayley’s closed at Rs 111.00, gaining Rs 4.00 (4 percent) on turnover of Rs 1.4 million.

Hayleys too has interests in plantations and manufacturing along with tourism. Hemas Holdings was up Rs 5.75 (+8 percent) on turnover of Rs 2.2 million to close at Rs 77.00. Carson Cumberbtach and Co closed up Rs 6.00 (+4 percent) at Rs 158.00 on turnover of Rs 700, 000. Ceylon Theatres Group saw its share price rise Rs 2.75 (8 percent) to end at Rs 37.50 on a turnover of Rs 1.9 million.

The leisure sector gained 10 percent on turnover of Rs 89 million. Asian Hotels and Properties, part of JKH, saw turnover of Rs 22.5 million with the share closing up Rs 3.50 (+12 percent) to Rs 34.00. The company owns and manages the hotels: Cinnamon Grand and Trans Asia (to be rebranded as the Cinnamon Lake), as well as property developments: Crescat, Monarch, and Emperor.

The Telecommunications Sector gained 9 percent on turnover of Rs 21 million with Sri Lanka Telecom up Rs 4.75 (+12 percent) to Rs 44.00 on turnover of Rs 15 million while Dialog Telekom was up 25 cents (5 percent) to close at Rs 5.75 on turnover of Rs 6 million.