Amid the volatile and uncertain global geopolitical backdrop, coupled with rising oil prices and cautious investor sentiment, the Colombo Bourse remained largely flat.

The ASPI edged up by 8 points to close at 22,620, while the S&P SL20 gained 15 points to settle at 6,230. CINS, COMB, JKH, ACL, and DIAL emerged as the top positive contributors to the ASPI.

Market activity reflected mixed sentiment, alongside average participation from both HNW and retail investors. Daily turnover stood at LKR 3.1Bn, marking a decrease of 12.2% over the monthly average of LKR 3.5Bn.

Capital Goods sector led the daily turnover with a share of 35%, followed by the Banking, and Food Beverage & Tobacco sectors collectively contributing 28%. Foreign investors turned net sellers, posting a net outflow of LKR 39.1Mn

BOND MARKET

Tepid trading conditions persist, yields hold steady

The subdued tone seen over the past week extended into today’s session. Nonetheless, activity registered a modest improvement relative to yesterday, although volumes remained below normal levels. The yield curve remained anchored, as investors continued to await clearer direction on global political developments and their implications for the Sri Lankan economy.

Among the maturities traded today, 01.07.2030 changed hands at 10.18% while 15.03.2031 traded at 10.25%. Further ahead on the curve 01.11.2033 and 15.06.2034 were seen trading at 11.02% and 11.15% respectively. Finally, 01.07.2037 traded at a rate of 11.25%.

On the external front, the LKR depreciated against the USD, standing at LKR 317.92/USD, compared to LKR 317.75/USD seen yesterday. Liquidity in the banking system expanded to LKR 231.90Bn from LKR 219.28Bn recorded previously.

Courtesy -First Capital Reseach