Bourse subdued

July 24, 2013 (LBO) - Sri Lanka's stocks closed flat on Wednesday with large cap stocks making losses and the rupee was steady in forex markets, brokers and dealers said.

The benchmark Colombo All Share Index closed 05.10 points lower at 6,079.14 and the S&P SL 20 Index closed 12.02 points lower at 3,448.11 down 0.35 percent.

Turnover was 291million rupees.

In the in forex markets the spot US dollar was quoted at 131.55/65 rupees but trading was taking place on spot-next, where settlement is made four days later, dealers said.

The rupee has fallen around four rupees in recent weeks under pressure from excess rupee liquidity and a policy of the monetary authority not to intervene (unsterilized interventions) under a so-called 'flexible exchange rate' stance.

While in the equities market, foreigners brought 118 million rupees worth shares while selling 11 million rupees of shares, in a day that 67 stocks advanced and 125 stocks declined.

Dialog Axita contributed most to the index closing at 8.80 rupees up 0.20 rupees. DFCC closed at 130.00 rupees up 2.00 rupees and and Hatton National Bank closed at 157.30 rupees up 4.10 rupees.

Negative contributors were John Keells Holdings closing at 267.70 rupees down 0.60 rupees. Sri Lanka Telecom closed 41.00 rupees down 0.60 rupees.

In the banking sector, Sampath Bank closed at 200.30 up 0.20 rupees, Pan Asia closed at 18.10 down 0.40 rupees.

Distilleries Company closed flat at 190.00 rupees.
http://www.lankabusinessonline.com/news/sri-lanka-stocks-close-flat,-rupee-steady/295691908

COLOMBO, July 24 (Reuters) - Sri Lankan shares slipped in thin trade on Wednesday, retreating from their highest close in nearly three weeks hit in the previous session, after the central bank kept key policy rates steady while investors awaited more directions on the rupee and lending rates, brokers said.

The main share index ended weaker 0.08 percent or 5.10 points, at 6,079.14, slipping from its highest close since July 3.

Sri Lanka's central bank kept key monetary policy rates unchanged, as expected, saying inflation is expected to remain in single digits for the rest of the year supported by supply side improvements and an absence of demand-driven pressures.


Foreign investors bought a net 106.8 million rupees ($810,900) in shares, extending the year-to-date net foreign inflow to 16.84 billion rupees.

Despite the central bank's easing policy measures, concerns over the weakening rupee and high lending rates have dented sentiment with investors waiting for some directions, brokers said.

Turnover was 291.5 million rupees, bourse data showed, well below this year's daily average of around 951 million rupees.
($1 = 131.7000 Sri Lanka rupees)

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Subhranshu Sahu)
http://www.reuters.com/article/2013/07/24/markets-srilanka-idUSL4N0FU2VC20130724

Subdued activity saw the Colombo bourse slip 0.08 percent yesterday (24) with JKH, Dialog and Bukit Darah making significant contributions to turnover.

The All Share Price Index fell a marginal 0.08 percent, down 5.10 points to close at 6,079.14 and the S&P SL20 closed 0.35 percent higher at 3,448.11 gaining 12.02 points.

Turnover amounted to Rs. 291.51 million, down from Rs. 408.4 million the previous day.

Foreign purchases amounted to Rs. 118.59 million, leading to a net inflow of Rs. 106.81 million.

"The ASPI ended marginally lower, amid subdued activity levels. Trades on JKH, DIAL and BUKI collectively accounted for over 48% of market turnover," John Keells Stockbrokers said.

JKH closed 0.22 percent lower at Rs. 269.70 and Dialog gained by 2.33 percent to close at Rs. 8.80.

Bukit Darah closed 0.13 percent higher at 686.10. HNB gained 1.64 percent to close at Rs. 111.80.

Mercantile Shipping was the biggest gainer of the day, up 12.79 percent from the previous close to Rs. 172.80 and Multi Finance was the top loser closing 16.91 percent lower at Rs. 17.20.

The diversified sector fell 0.25 percent yesterday with manufacturing stocks falling 1.12 percent. Plantation stocks fell 0.38 percent. Banks, finance and insurance stocks gained 0.30 percent during the day.

The Kingsbury announced a 3:8 rights issue of 66 million shares at Rs. 10 each.
http://www.island.lk/index.php?page_cat=article-details&page=article-details&code_title=84258

Tomorrow upward momentum to continue despite JKH ending almost flat.

Aggressive traders enter on typical candle formation.

Risk 5Rs / Reward 25Rs Max
Good Luck
TAH