Continuing its positive momentum, the Colombo Stock Market witnessed a bullish trend driven by heightened activity from both retail and HNW investors.
The ASPI surged by 144 points, closing the day at 20,715. Banking sector stocks and conglomerates provided significant upward pressure on the index.
Key contributors to the gains included JKH, HNB, SAMP, BUKI, and NDB. Notably, there was also a marked increase in investor interest in Transportation sector related companies.
On the back of multiple crossings turnover for the day amounted to LKR 11.1Bn, marking an 86% increase from the monthly average of around LKR 6.0Bn.
The Banking sector dominated turnover, contributing 39%, followed by the Diversified Financials and Capital Goods sectors with a combined contribution of 32%. Foreign investors remained net sellers with a net outflow of LKR1.1Bn.
BOND MARKET
Secondary market stable amid selective selling
The secondary bond market saw light selling pressure today, with trading volumes remaining moderate.
Activity was largely focused on the 2028 maturities. Despite the slight uptick in selling, the yield curve held steady overall. At the shorter end of the curve, 15.03.2028 maturity traded at 8.80%, 01.05.2028 at 8.84%, 01.07.2028 at 8.88%, and 15.09.2028 at 9.40%.
Moving further along the curve, the 01.11.2033 maturity traded at 10.70%. The Central Bank concluded its weekly Treasury Bill auction today, fully raising the initially offered amount of LKR 78.5Bn.
The 3M bill generated LKR 13.1Bn, with its weighted average yield decreasing by 1bp to 7.59%. The 6M bill raised LKR 24.9Bn, with its weighted average yield decreasing by 1bp to 7.89%.
Meanwhile, the 12M bill drew LKR 40.5Bn, with yield remaining unchanged at 8.03%. In the forex market, the LKR depreciated against the greenback, closing at LKR 301.5/USD, compared to the previously seen rate of LKR 301.2/USD.
Meanwhile, overnight liquidity in the banking system contracted to LKR 105.9Bn from the previously seen level of LKR 116.0Bn.
Courtesy: First Capital Research
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