Trade Summary Market - 04/01/2013

Written by Tharanga Senaratne

Jan 04, 2013 (LBT) - Having rallied over 200 points over the past five consecutive trading sessions, Colombo bourse took a well-deserved breather with benchmark index depicting some intraday volatility swinging between marginal gains & losses. The ASPI managed to close the week on a positive note amidst buying interest in steady lot as it advanced 17.3 points at its close of 5,747.7 points. The S&P SL20 moved along the market with a 17.5 point gain at its close of 3,121.7points with notable price appreciations in Ceylon Tobacco (+), Nestle Lanka (+), Hatton National Bank (+) and Commercial Bank (+). The turnover improved from yesterday amidst large off-market deals in selected counters reading LKR1,234.4 mn for the day.

Despite some selling pressure in the speculative counters trimming the index advance, notably the momentum seemed to continue in the steady players with continued buying interest. We believe the sentiment is likely to strengthen further provided the fundamentally backed counters remain in the limelight. Retail activity is also expected to gather further momentum with continued foreign inflows remaining a strong eye opener for the local investors. Heavyweight, John Keells Holdings emerged to spearhead the day’s turnover list amidst heavy institutional play. The counter witnessed 7 crossings accumulating to c.2.1 mn shares transacted at prices LKR219.9, LKR220.0 & LKR220.5. Further, several large on-board deals were also handled in the counter as it constituted c.43% of the day’s turnover.

Block trades continued in Hatton National Bank as it saw further 4 parcels totalling 2 mn shares being crossed off at LKR147.0 & LKR148.0 today. Amidst heavy buying interest, the counter recorded a further 150k share block being taken on board as it advanced 1% at its close of LKR148.5, currently trading at attractive valuations at a PER of 7.7X 2013E. Institutional interest extended in Asiri Surgical Hospital as the counter registered further 5 blocks carrying a total of 14.85 mn shares crossed off at its 52-week high price of LKR9.5. The counter was seen trading at its 52-week high as several other large on-board trades were also witnessed, where it closed with a 2.2% gain at LKR9.4. In addition Chevron Lubricants, People’s Finance, Ceylon Tobacco and Lion Brewery were seen trading on their respective 52-week high prices.

Buying interest was notable in Central Finance, People’s Leasing, Distilleries, Nations Trust Bank, National Development Bank, Nestle Lanka and Commercial Bank. On the contrary some selling pressure was visible in retail favourite stocks; Nation Lanka Finance, Environmental Resources Investment whilst active retail & high net worth play surrounded Panasian Power, Free Lanka Capital Holdings, Balangoda Plantations, Tess Agro and Trade Finance & Investments. European Stock Futures Fall as Fed Sees Bond Buying End: European stock futures fell as minutes from the Federal Reserve’s Dec. 11-12 meeting showed some policy makers said it may be appropriate to end the USD85 bn monthly bond-purchase program in 2013. US index futures were little changed. Asian shares outside Japan dropped. Futures on the Euro Stoxx 50 Index, a benchmark for the euro area, declined 0.3% to 2,687 at 7:04 a.m. in London. Oil Slips a Second Day in New York on US Jobless Claims: Oil trimmed its fourth weekly gain after US Federal Reserve policy makers signaled they may end a stimulus program this year, raising concern the economic recovery may falter in the world’s biggest crude user. West Texas Intermediate oil for February delivery fell as much as 78 cents to USD92.14 a barrel on the New York Mercantile Exchange and was at USD92.26 at 2:33 p.m. in Singapore.
http://lbt.lk/stock-market/movement/3358-lbt-market-friday