Tag Archives: share market investments sri lanka

Sri Lankan shares rise on foreign investor buying; turnover hits 1-mth high

FIRST CAPITAL’S SENIOR RESEARCH ANALYST, ATCHUTHAN SRIRANGAN, SPEAKS TO REUTERS

Tue Mar 28, 2017

Sri Lankan shares closed slightly stronger on Tuesday, recovering from a more than one-year closing low hit in the previous session, as foreign investors bought battered stocks while block deals pushed the day’s turnover to a one-month high.

The Colombo stock index closed 0.17 percent firmer at 5,985.08, closing below a key psychological level of 6,000.

It had closed at its lowest since March 15, 2016 on Monday as investors sold shares of lenders after the central bank tightened its monetary policy on Friday.

The central bank raised its benchmark interest rates by 25 basis points for the first time in eight months to contain high inflationary expectations and a possible acceleration of demand-side inflationary pressures.

“The market is up on continued foreign buying while block deals pushed the turnover up,” said Atchuthan Srirangan, a senior research analyst with First Capital Equities (Pvt) Ltd.

“Retail investors are still on the sidelines as they want to see a clear picture.”

Foreign investors net bought shares worth 401.2 million rupees ($2.64 million) on Tuesday, raising the year-to-date net foreign inflow to 4.29 billion rupees in equities.

Turnover stood at 2.32 billion rupees ($15.29 million), the highest since Feb. 28 and well above this year’s daily average of 716.1 million rupees.

As of Monday’s close, the index had lost 2.18 percent since March 7 when the IMF called for monetary policy tightening if credit growth or inflation do not abate.

The stock index moved to “neutral” territory from “oversold”, with the 14-day relative strength index rising to 30.957 versus Monday’s 27.488, Thomson Reuters data showed. A level between 30 and 70 indicates the market is neutral.

Shares of Dialog Axiata Plc rose 2.70 percent, while Sri Lanka Telecom Plc climbed 1.55 percent.

($1 = 151.8000 Sri Lankan rupees)

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Subhranshu Sahu)

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 slump to one-year low as banks fall

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

Mon Mar 27, 2017

Sri Lankan shares fell to a more than one-year closing low on Monday in dull trade as investors sold shares of lenders after the central bank tightened monetary policy in the previous session, dealers said.

On Friday, the central bank raised its benchmark interest rates by 25 basis points for the first time in eight months to contain high inflationary expectations and a possible acceleration of demand side inflationary pressures.

The Colombo stock index closed 0.36 percent weaker at 5,974.94, its lowest close since March 15, 2016. The index broke below a key psychological barrier of 6,000 on Wednesday.

“Margins (calls) are still affecting the market. Buying interest still hasn’t come back into the market,” said Dimantha Mathew, head of research, First Capital Equities (Pvt) Ltd.

“Investors took the rate hike as a positive as it will give some kind of stability in the economy and the hike was less than what they expected. But investors are still waiting for the market to bottom out to get in.”

Turnover stood at 429 million rupees ($12.7 million), less than this year’s daily average of 688.4 million rupees.

The index had lost 2.18 percent since March 7 after the IMF called for monetary policy tightening if credit growth or inflation do not abate.

The bourse fell to “oversold” territory from “neutral”, with the 14-day relative strength index dropping to 27.488 points versus Friday’s 30.480, Thomson Reuters data showed. A level between 30 and 70 indicates the market is neutral.

Foreign investors net bought shares worth 76.3 million rupees on Monday, raising the year-to-date net foreign inflow to 3.89 billion rupees in equities.

Shares in Melstacorp Plc fell 3.06 percent while the biggest listed lender Commercial Bank of Ceylon Plc fell 1.59 percent.

($1 = 151.4000 Sri Lankan rupees)

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

Sri Lankan shares fall to 1-yr closing low, rate review in focus

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

Thu Mar 23, 2017

Sri Lankan shares fell for a second straight session on Thursday to a more than one-year closing low as expectations of an interest rate hike continued to drag down the market ahead of the central bank’s monetary policy review.

The Colombo stock index closed down 0.3 percent at 5,979.85, its lowest close since March 15, 2016. The index breached a key psychological barrier of 6,000 in the previous session.

“There are no buyers as most of the local investors are on the sidelines awaiting the outcome of the policy review,” said Dimantha Mathew, head of research, First Capital Equities (Pvt) Ltd.

Sri Lanka’s central bank could raise its key policy rates in the coming months if it skips a chance to tighten at its second monetary policy review of the year on Friday, a Reuters poll showed, two weeks after the International Monetary Fund called for further tightening.

Analysts said investors expected a rate hike.

Turnover stood at 616.4 million rupees ($4.1 million), less than this year’s daily average of 671 million rupees.

The index has lost 2.1 percent since March 7, when the IMF called for monetary policy tightening if credit growth or inflation do not abate.

The bourse dipped further into oversold territory on Thursday, with the 14-day relative strength index at 24.614 points versus Wednesday’s 26.758, Thomson Reuters data showed. A level between 30 and 70 indicates the market is neutral.

Foreign investors net bought shares worth 194 million rupees, raising the year-to-date net foreign inflow to 3.26 billion rupees in equities.

The treasury bill rates have risen between 33 to 77 basis points since July 28, when the central bank last raised the key interest rates.

Shares in Asian Hotel Properties Plc fell 2.9 percent, while Lanka ORIX Leasing Company Plc fell 0.8 percent and Sri Lanka Telecom Plc 0.9 percent.

($1 = 151.5000 Sri Lankan rupees)

(Reporting by Ranga Sirilal and Shihar Aneez; 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 fall to 1-yr closing low, breaching key barrier

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

Wed Mar 22, 2017

Sri Lankan shares fell on Wednesday to a more than one-year closing low, breaching a key psychological barrier of 6,000, as expectations of an interest rate hike continued to drag down the market ahead of the central bank’s policy review.

The Colombo stock index closed down 0.7 percent at 5,996.65, its lowest close since March 15, 2016.

“The market came down mainly on margin calls,” said Dimantha Mathew, head of research, First Capital Equities (Pvt) Ltd.

“Investors are expecting a rate hike, so local investors are on the sidelines and only foreign investors are active.”

Sri Lanka’s central bank could raise its key policy rates in the coming months if it skips a chance to tighten at its second monetary policy review of the year on Friday, a Reuters poll showed, two weeks after the International Monetary Fund called for further tightening.

Turnover was boosted by foreign-buying in conglomerate John Keells Holdings PLC and stood at 1.05 billion rupees ($6.9 million), well above this year’s daily average of 672 million rupees.

The index has lost 1.8 percent since March 7, when the IMF called for monetary policy tightening if credit growth or inflation do not abate.

The bourse dipped into oversold territory on Wednesday, with the 14-day relative strength index at 26.758 points versus Tuesday’s 34.145, Thomson Reuters data showed. A level between 30 and 70 indicates the market is neutral.

Foreign investors net bought shares worth 414.6 million rupees, raising the year-to-date net foreign inflow to 3.07 billion rupees in equities.

The treasury bill rates have risen between 33 to 77 basis points since July 28, when the central bank last raised the key interest rates.

Shares in John Keells fell 2.1 percent, while Asiri Hospitals Plc dropped 3.8 percent and biggest listed lender Commercial Bank of Ceylon Plc fell 0.9 percent.

($1 = 151.5000 Sri Lankan rupees)

(Reporting by Ranga Sirilal and Shihar Aneez; 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.

RICHARD PIERIS’ STARS, CASH COWS, QUESTION MARKS AND DOGS

FIRST CAPITAL EQUITIES, A STOCKBROKER, PUTS THE LISTED GROUP OF COMPANIES THROUGH THE BOSTON CONSULTING GROUP’S GROWTH-SHARE MATRIX

Sri Lankan shares end flat as investors await cbank rate review

FIRST CAPITAL’S JALIYA WIJERATNE SPEAKS TO REUTERS

Tue Mar 21, 2017

Sri Lankan shares were little changed on Tuesday in lacklustre trade, hovering near a one-year closing low hit last week, as investors stayed on the sidelines ahead of the central bank’s policy review.

The Colombo stock index ended flat at 6,041.59, near its lowest close since March 16, 2016 hit on Thursday.

Turnover stood at 283.3 million rupees ($1.9 million), less than half of this year’s daily average of 665 million rupees.

The index has lost 1.2 percent since March 7, when the International Monetary Fund called for monetary policy tightening if credit growth or inflation did not abate.

The central bank’s second monetary policy review of the year is due on Friday.

“The market is closely watching for the monetary policy rate announcement and sovereign bonds,” said Jaliya Wijeratne, who heads First Capital Equities.

“Local investors are just waiting for some direction, but foreign investors are buying counters.”

Foreign investors net bought shares worth 160.8 million rupees, raising the year-to-date net foreign inflow to 2.66 billion rupees in equities.

Shares in Commercial Leasing and Finance Plc rose 8 percent, while Lanka ORIX Leasing Company Plc gained 2.3 percent and Dialog Axiata Plc rose 0.9 percent.

($1 = 151.5000 Sri Lankan rupees)

(Reporting by Ranga Sirilal and Shihar Aneez; 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 edge down on rate hike concerns ahead of review

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

Mon, Mar 20, 2017

Sri Lankan shares edged down on Monday, hovering near a one-year closing low hit last week, as expectations of a rate hike continued to weigh on sentiment.

The Colombo stock index fell 0.1 percent to finish at 6,041.17, near its lowest close since March 16, 2016 hit on Thursday. The bourse fell 0.6 percent last week, posting its fourth straight weekly decline.

The index has lost 1.2 percent since March 7, when the International Monetary Fund called for monetary policy tightening if credit growth or inflation did not abate.

The central bank’s second monetary policy review of the year is due on March 24.

“Retailers and institutional investors are on the sidelines; investors are awaiting the outcome of the monetary policy announcement,” said Dimantha Mathew, head of research, First Capital Equities (Pvt) Ltd.

Foreign investors net sold shares worth 3.74 million Sri Lankan rupees ($260,296), the first net outflow in 14 sessions. Foreign investors were net buyers of 2.49 billion rupees worth of equities so far this year.

Turnover stood at 439.4 million rupees, less than this year’s daily average of 672.2 million rupees.

Access Engineering Plc lost 2 percent following a local media report that the government stopped some development projects in which the company was involved.

Dialog Axiata Plc fell 0.9 percent and conglomerate John Keells Holdings Plc edged down 0.1 percent.

($1 = 151.7500 Sri Lankan rupees) (Reporting by Ranga Sirilal and Shihar Aneez; Editing by Amrutha Gayathri)

MARKET UPDATE ON ADA DERANA ENGLISH NEWS – 2017.03.20

 

 

 

 

FC Head of Research Dimantha Mathew with the market update – between 20.23 mins to 20.57 mins

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 recover from 1-yr low on foreign bargain-hunting

FIRST CAPITAL’S ATCHUTHAN SRIRANGAN SPEAKS TO REUTERS

Fri Mar 17, 2017

Sri Lankan shares edged up on Friday from a one-year closing low hit in the previous session and after eight straight sessions of losses as foreign investors bought battered stocks.

The Colombo stock index gained 0.3 percent to finish at 6,047.84, edging up from its lowest close since March 16, 2016 hit on Thursday.

But the bourse fell 0.6 percent during the week, posting its fourth straight weekly decline, due to concerns that the central bank would raise interest rates next week.

The index had lost 1.5 percent over the eight sessions through Thursday since the International Monetary Fund urged Sri Lanka’s central bank last week to be ready to tighten monetary policy if credit growth or inflation does not abate.

The central bank’s second monetary policy review of the year is due on March 24.

“Foreigners are buying some blue chips that are at very discounted prices,” said Atchuthan Srirangan, a senior research analyst with First Capital Equities.

“But retailers and institutional investors are not active.”

Foreign investors net bought shares worth 39.5 million rupees ($260,296.54) in the 13th straight session of net-buying, raising the year-to-date net foreign inflow to 2.5 billion rupees in equities.

Turnover stood at 1.17 billion rupees, well over this year’s daily average of 676.7 million rupees.

Shares of Sri Lanka Telecom Plc gained 3.3 percent, while Dialog Axiata Plc rose 1.8 percent and conglomerate John Keells Holdings Plc edged up 0.1 percent.

($1 = 151.7500 Sri Lankan rupees)

(Reporting by Ranga Sirilal and Shihar Aneez; 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 hit 1-yr closing low on rate hike concerns

FIRST CAPITAL’S ATCHUTHAN SRIRAGAN SPEAKS TO REUTERS

Sri Lankan shares hit a one-year closing low on Thursday, falling for an eighth straight session, as concerns the central bank would raise rates next week weighed on sentiment after the International Monetary Fund urged it to tighten monetary policy.

The Colombo stock index closed 0.06 percent lower at 6,028.57, its lowest close since March 16, 2016.

The index has lost 1.45 percent over the last eight sessions since the IMF urged Sri Lanka’s central bank last week to be ready to tighten monetary policy if credit growth or inflation does not abate.

The central bank’s second monetary policy review of the year is due on March 24.

“It is a very dull day. Investors are on the sidelines because of the uncertainty and waiting to see the monetary policy decision next week,” said Atchuthan Srirangan, a senior research analyst with First Capital Equities (Pvt) Ltd.

Turnover stood at 272.1 million rupees ($1.79 million), about a third of this year’s daily average of 667 million rupees.

The bourse slipped further into oversold territory on Thursday, with the 14-day relative strength index at 28.159 points versus Wednesday’s 28.701, Thomson Reuters data showed. A level between 30 and 70 indicates the market is neutral.

Shares of Sri Lanka Telecom Plc closed down 2.65 percent. Teejay Lanka Plc fell 1.67 percent.

Foreign investors net bought shares worth 103.2 million rupees in the 12th straight session of net-buying, raising the year-to-date net foreign inflow to 2.46 billion rupees into equities.

($1 = 151.7500 Sri Lankan rupees)

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Biju Dwarakanath)

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.