CSE Rebounds Strongly as Improved Oil Supply Outlook Lifts Investor Sentiment

By Almas Equities Research

The Colombo market staged a strong recovery on 10th March 2026, regaining positive momentum following encouraging developments surrounding global oil supply and signs of easing tensions in the Middle East. The improved external outlook provided a positive breather for the CSE after the recent sharp correction, with both indices closing significantly higher as the majority of counters ended the session in green territory.

Investor sentiment strengthened notably despite the recent local fuel price revision, as market participants responded positively to global developments and anticipated further supportive news in the coming days. The broad-based buying interest reflected renewed confidence among investors following the previous session’s heavy sell-off.

The Capital Goods sector dominated today’s turnover, recording LKR 0.75 Bn with 41.84 Mn shares traded. SHL.N led sector activity, generating LKR 0.27 Bn in turnover with 30.07 Mn shares exchanged. Crossings accounted for LKR 0.73 Bn, representing 16% of total market turnover, with the largest block trade recorded in RCH.N totaling LKR 0.21 Bn involving 1.01 Mn shares.

At the close, the ASPI gained 474.38 points (+2.17%) to settle at 22,378.52, while the S&P SL20 advanced 151.56 points (+2.47%) to 6,280.42. Total market turnover stood at LKR 4.47 Bn with 236.21 Mn shares traded. Market breadth improved significantly with 207 gainers against only 28 decliners, highlighting strong and broad-based buying interest across the market.

Positive contributors to the index were led by HNB.N (+38.27 points), followed by SAMP.N, COMB.N, JKH.N, and DIAL.N. On the downside, LLUB.N (-3.24 points) led the declines, while MGT.N, ALLI.N, NHL.N, and CHL.N exerted mild pressure on the index. Among notable trades, SHL.N recorded strong activity, posting LKR 0.14 Bn in turnover with 15.07 Mn shares traded, alongside a remarkable price gain of 50.00%.