Stocks close out solid in 2009
The indices edged higher for the fifth straight week with the broader
ASPI (All Share Price Index) hitting fresh closing highs in the history
of the Colombo bourse on Wednesday, to close at 3385.6 points. However,
volume levels remained light during the holiday thinned three day week,
as the week was headed for New Year holidays.
The ASPI gained a modest 92.8 points or 2.8 percent to end at 3385.6
points while the MPI (Milanka Price Index) inched up 72.1 points or 1.9
percent points to 3849.4 points.
Investors continued to sought after blue chip stocks as banks led the
way, while HNB topped the list of the contributors. Being in line with
the improving market trend HNB, share price gained by 1.0 percent this
week, closing at Rs 170.25 per share.
During the week approximately 1.9 million HNB shares traded, while
becoming the highest daily contributor on all three days. Counter in
total contributed Rs 311.3 million or 16 percent of total turnover
during the week.
Conglomerate JKH placed second in terms of activity levels for the
week The high cap conglomerate added over Rs 122.0 million to the week’s
turnover, while trading a volume of 0.7 million shares. JKH saw its
share price increase by 0.7 percent Week on Week (WoW) to close at Rs
171.50 per share on Wednesday.
Renewed interest was seen on Lion Brewery stock which saw
approximately 1.0 million shares trading for the week, contributing Rs
81.4 million to the week’s turnover.
The share price of the counter gained during the week by a notable
12.4 percent to close at Rs 81.50 per share. Total activity levels
reduced by 57.9 percent during the holiday shortened trading week to
total Rs 1.9 billion this week while the average daily turnover amounted
to Rs 649.8 million. Week witnessed heavy participation of local
investors while foreign participation of total activity stood at a low
of 19.8 percent.
Foreign investors remained net sellers this week, amounting to a net
outflow of Rs 309.0 million for the week.
Dialog, Tokyo Cement (Non Voting), City Housing and Keells Hotels
were among the most actively traded stocks during the week.
Expectations for a prosperous New Year
The week ended 30/12/2009 saw the ASPI moving from 3292.8 points to
3385.6 points amounting to 92.8 points while the MPI moving from 3777.2
points to 3849.4 points amounting to 72.1 points.
As explained above, the bourse showed an uptrend during the concluded
three day week. The continuous climb of the market during the past few
weeks has created a favourable outlook on the market, despite the
expectations of a seasonal ‘lull’.
With the trading concluding for the year, the positive sentiments are
expected to continue with the expectations of an improvement in the
corporate earnings stemming from an all dreamt economic revival.
The information contained herein has been compiled from sources that
Acuity Stockbrokers (Private) Limited (ASB) believes to be true and
reliable but we do not hold ourselves responsible for its completeness
or accuracy. No matter published herein create any liability of any kind
on ASB. All opinions, views, findings and conclusions included in this
report constitute ASB’s judgment of this date and are subject to change
without notice. |