The Colombo Bourse witnessed a revival in investor activity, which lifted both indices onto positive territory, mainly brought on by bargain buying.

The ASPI gained 175 points and closed at 19,971, whilst the S&P SL20 closed at 5,699, having gained 23 points. CARS, DIST, COMB, LOLC and LOFC were the top positive contributors to the ASPI.

Prominent contributions from the HNW segment, mainly through notable crossings in CTC was what lifted today’s activity, amidst moderate levels of retail investor activity. Turnover stood at approximately LKR 1.5Bn, broadly in line with the monthly average level.

The Food, Beverage & Tobacco sector led the daily turnover with a share of 25%, followed by the Diversified Financials, and Retailing sectors collectively contributing 27%. Foreign investors remained net sellers, posting a net outflow of LKR 76.2Mn.

BOND MARKET

Muted market amidst the slight rise in yields

Today, the secondary market remained subdued amidst thin trading volumes, however, the yield curve slightly edged up. Among the maturities that traded, both 01.08.2030 and 15.10.2030 traded between 11.42% - 11.43%.

Moving ahead, 01.02.2031 and 15.01.2033 changed hands at 11.50% and 11.95% respectively. Finally, 15.09.2034 and 15.10.2034 maturities traded within the range of 12.20% - 12.27%.

On the external front, the LKR marginally depreciated against the USD, standing at LKR 331.12/USD, compared to LKR 331.05/USD seen earlier. Market liquidity in the banking system contracted to LKR 398.07Bn compared to LKR 414.63Bn recorded previously.

-First Capital Research-