Tag Archives: Colombo Cold Stores Plc

Sri Lankan shares fall on foreign selling amid political uncertainties

FIRST CAPITAL’S HEAD OF RESEARCH, DIMANTHA MATHEW, SPEAKS TO REUTERS.

Sri Lankan shares fell on Tuesday to end near a 10-month low as foreign investors sold equities amid political instability and on worries of further interest rate hikes, brokers said.

While investors turned cautious after the government’s coalition partners decided to contest local polls separately, a rise in treasury bill yields last week also affected risk appetite, said analysts.

Yields on treasury bills rose 2-5 basis points at a weekly auction on Wednesday to a near five-month high after the central bank governor signalled reduced intervention to defend the rupee.

Rising interest rates, which move in tandem with T-bill yields, have been a cause for concern, brokers said.

The Colombo stock index ended 0.13 percent down at 6,132.68, near its 10-month closing low hit last week, its second straight weekly decline.

“Big chunk of today’s trade was foreign-to-foreign transaction. Other than that, there was no major activity as most of the investors are on the sidelines, awaiting direction,” said Dimantha Mathew, head of research at First Capital Equities (Pvt) Ltd.

Turnover stood at 1.65 billion rupees ($10.99 million), the highest since Dec. 28.

Foreign trading accounted for 67 percent of the day’s turnover, as foreign investors net sold 20.77 million rupees ($138,374) worth of equities on Tuesday, extending the year-to-date net foreign outflow to 1.65 billion rupees worth of shares.

Shares in Colombo Cold Stores Plc fell 1 percent while Ceylon Tobacco Company Plc fell 0.33 percent.

($1 = 150.1000 Sri Lankan rupees)

(Reporting by Ranga Sirilal; Editing by Vyas Mohan)

 

The comments on this report are provided by the Capital Markets Research Unit of First Capital Holdings PLC an investment bank in Sri Lanka.

The company operates in the capital markets of Sri Lanka in government securities – treasury bills and bonds, stock brokering and share market investments, asset management, private wealth management,  retirement planning, personal financial planning, unit trust, margin trading, capital market research, trustee services, corporate finance advisory services including corporate debt structuring (debentures, trust certificates, commercial papers), valuations, restructuring, mergers and acquisitions, initial public offerings (IPOs) and project advisory.

The First Capital Group consists of First Capital Treasuries PLC, First Capital Limited, First Capital Markets Limited, First Capital Asset Management Limited and First Capital Equities (Private) Limited covering Colombo, Negombo, Matara, Kandy and Kurunegala.

Sri Lankan shares close slightly higher in dull trade

FIRST CAPITAL’S HEAD OF RESEARCH, DIMANTHA MATHEW, SPEAKS TO REUTERS.

Sri Lankan stocks ended marginally higher on Monday in lacklustre trading as bargain-hunting investors picked up battered shares, but political instability and a rise in interest rates capped gains, brokers said.

The Colombo stock index ended 0.1 percent higher at 6,140.54. It hit a near 10-month closing low on Wednesday, and lost 0.5 percent last week, its second straight weekly decline.

Biggest listed lender Commercial bank of Ceylon Plc rose 2.2 percent while Colombo Cold Stores Plc rose 1.3 percent.

“We saw some bargain-hunting, but there were no big trades,” said Dimantha Mathew, head of research at First Capital Equities (Pvt) Ltd.

Foreign investors net bought 5.95 million rupees ($39,614) worth of equities on Monday, but they have net sold 1.63 billion rupees worth shares so far this year.

Turnover stood at 179.3 million rupees, its lowest since Jan. 18.

($1 = 150.2000 Sri Lankan rupees)

(Reporting by Ranga Sirilal; Editing by Amrutha Gayathri)

 

The comments on this report are provided by the Capital Markets Research Unit of First Capital Holdings PLC an investment bank in Sri Lanka.

The company operates in the capital markets of Sri Lanka in government securities – treasury bills and bonds, stock brokering and share market investments, asset management, private wealth management,  retirement planning, personal financial planning, unit trust, margin trading, capital market research, trustee services, corporate finance advisory services including corporate debt structuring (debentures, trust certificates, commercial papers), valuations, restructuring, mergers and acquisitions, initial public offerings (IPOs) and project advisory. 

The First Capital Group consists of First Capital Treasuries PLC, First Capital Limited, First Capital Markets Limited, First Capital Asset Management Limited and First Capital Equities (Private) Limited covering Colombo, Negombo, Matara, Kandy and Kurunegala.

Sri Lankan shares rise on bargain hunting, snap 5-day losing streak

FIRST CAPITAL’S HEAD OF RESEARCH, DIMANTHA MATHEW, SPEAKS TO REUTERS.

Sri Lankan shares edged higher on Friday, ending a five-day losing streak and recovering from a nine-month low hit in the prior session as investors picked up battered down shares.

People walk past an electronic board displaying various Asian countries' stock price index and world major index outside a brokerage in Tokyo, Japan, August 21, 2015.  REUTERS/Issei Kato/File Photo

Foreign investors turned net buyers on Friday after offloading shares for five straight sessions.

The bourse hit a nine-month low on Thursday as foreign investors sold close to one billion rupees worth of stocks in the first four sessions of 2017 amid worries over a weakening rupee and rising interest rates hurt sentiment.

Foreign investors bought a net 26.95 million rupees ($180,026.72) worth of equities on Friday. They have been net sellers to the tune of 969.69 million rupees so far this year.

The Colombo stock index ended 0.09 percent up at 6,153.02, edging up from its lowest close since April 4 hit on Thursday. It fell 0.64 percent for the week and was down 9.7 percent in 2016, its second straight annual decline.

The index has been trading in the oversold territory since Tuesday with the 14-day relative strength index breaking below 30, Thomson Reuters data showed. A level between 30 and 70 indicates the market is neutral.  The day’s turnover was at 273.7 million rupees.

“Market edged up in thin volumes despite continued selling pressure,” said Dimantha Mathew, head of research, First Capital Equities (Pvt) Ltd.

Analysts said interest rate volatility and policy uncertainties are also hurting investor sentiment.

Yields on treasury bill auctions rose 5-6 basis points at a weekly auction on Wednesday, a day after the central bank governor signalled less intervention to defend the currency as market has braced for a depreciation.

Shares in Ceylon Tobacco Company Plc rose 1.17 percent while Colombo Cold Stores Plc rose 1.26 percent and Dialog Axiata Plc rose 0.95 percent.

Shares in biggest listed lender Commercial Bank of Ceylon Plc rose 0.42 percent while Conglomerate John Keells ended 0.43 percent up.  Talks of a high net worth foreign investor exiting from Keells has triggered panic selling, dealers said.

($1 = 149.7000 Sri Lankan rupees)

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Vyas Mohan)

Sri Lanka shares end near one-week closing low

FIRST CAPITAL’S HEAD OF RESEARCH, DIMANTHA MATHEW, SPEAKS TO REUTERS

Sri Lankan shares ended weaker for a second straight session on Wednesday, to hit their lowest close in nearly one week, with foreign investors selling domestic shares as uncertainty over budget proposals continued to keep sentiment subdued.

The Colombo stock index ended down 0.36 percent at 6,327.30, moving away from its highest close since Nov. 15 hit on Monday. The bourse gained 1.17 percent last week, recording its first weekly gain in four weeks.

Foreign investors sold a net 105.6 million rupees ($711,590.30) worth of shares on Wednesday extending the year-to-date net foreign outflow to 1.9 billion rupees worth of shares.  Turnover was 830.1 million rupees, compared with this year’s daily average of 699.03 million rupees.

Despite recent gains, investors are concerned that proposed increases in various taxes and fees would reduce disposable income and challenge consumption-led growth.

“Market is moving sideways as there is no clear direction and not much of retail (investor) participation,” said Dimantha Mathew, head of research, First Capital Equities (Pvt) Ltd.

“The positive sentiment was short-lived and uncertainty over budget proposals and lack of positive sentiments very bad for investor climate.”

The government aims to boost its 2017 tax revenue by 27 percent to 1.82 trillion rupees year-on-year to meet a commitment given to the International Monetary Fund in return for a $1.5 billion loan in May.

Brokers said investors were concerned about the sustainability of rates after the central bank on Tuesday kept key rates unchanged.

Shares of Colombo Cold Stores Plc fell 1.12 percent while the biggest-listed lender Commercial Bank of Ceylon Plc ended steady.

($1 = 148.4000 Sri Lankan rupees)

(Reporting by Ranga Sirilal; Editing by Sherry Jacob-Phillips)

 

 

 

Sri Lanka shares end 1 pct higher; foreign buying seen

FIRST CAPITAL’S HEAD OF RESEARCH, DIMANTHA MATHEW, SPEAKS TO REUTERS

Sri Lankan shares jumped more than 1 percent on Thursday as investors sought bargains in blue-chips and on buying by foreign investors.

The Colombo stock index ended up 1.09 percent at 6,309.04, its highest close since Nov. 18.

The index hit a near-eight-month low on Tuesday on concerns that the proposed hike in various taxes and fees would reduce disposable income and challenge consumption-led growth.

Foreign investors bought a net 45.4 million rupees ($306,860.43) worth of shares on Thursday, but have been net sellers of 1.59 billion rupees worth of shares so far this year.

Turnover stood at 1.18 billion rupees, more than this year’s daily average of 696.8 million rupees.

“Market is very bullish with continued foreign buying,” said Dimantha Mathew, head of research at First Capital Equities (Pvt) Ltd.

“Early morning buying in John Keells boosted confidence levels and brought the buying in to the market. Excess liquidity in the banking system is also helping the market.”

The government aims to boost its 2017 tax revenue by 27 percent to 1.82 trillion rupees year-on-year and meet a commitment given to the International Monetary Fund in return for a $1.5 billion loan in May.

The market shrugged off the central bank’s monetary policy decision on Tuesday to keep rates unchanged. Brokers said investors are concerned about sustainability of rates.

Shares of biggest listed lender Commercial Bank of Ceylon Plc jumped 1.43 percent while Colombo Cold stores Plc rose 3.59 percent and conglomerate John Keells Holdings Plc rose 1.15 percent.

($1 = 147.9500 Sri Lankan rupees)

(Reporting by Ranga Sirilal; Editing by Sunil Nair)