The Colombo Stock Exchange (CSE) faced another day of declines, reflecting ongoing investor uncertainty surrounding the upcoming Presidential election. Despite a slight improvement in turnover, the market’s overall performance remained grim, with the market capitalisation turning negative for the first time this year.
On Tuesday, both the All Share Price Index (ASPI) and the S&P SL20 Index fell by over 0.4%, as the turnover reached Rs. 1.1 billion, involving 47 million shares. The CSE’s market capitalisation now stands at Rs. 4.23 trillion, marking a 0.4% year-to-date decline. Over the past two trading sessions, the market’s value has dropped by Rs. 90 billion.
NDB Securities reported that the ASPI ended in negative territory, driven by price declines in key stocks such as Ceylon Tobacco Company, Sampath Bank, and Commercial Bank. High net worth and institutional investors were active in Richard Pieris & Company, John Keells Holdings, and Ceylon Tobacco Company.
Mixed interest was observed in stocks like Commercial Bank, Hatton National Bank, and Chevron Lubricants, while retail investors showed interest in Browns Investments, LOLC Finance, and Dialog Axiata. Foreign participation remained low, although foreign investors closed the day as net buyers.
The Capital Goods sector led the market in turnover contributions, primarily due to John Keells Holdings and Richard Pieris & Company. However, the sector index fell by 0.13%. John Keells Holdings saw its share price decrease by 50 cents to Rs. 167, while Richard Pieris & Company experienced a one rupee gain, closing at Rs. 20.
The Banking sector was the second largest contributor to turnover, driven by activity in Commercial Bank and Hatton National Bank. The sector index declined by 0.73%, with Commercial Bank’s share price dropping by one rupee to Rs. 83.70, and Hatton National Bank’s share price decreasing by Rs. 1.50 to Rs. 163.50.
Ceylon Tobacco Company also ranked among the top contributors to turnover, with its share price declining by Rs. 46.50 to close at Rs. 1,163.50.
The ongoing political uncertainty continues to weigh heavily on market sentiment, with investors remaining cautious in the lead-up to the election.
