Market pullback deepens as selling resumes

By Almas Equities Research

The Colombo Stock Exchange witnessed another weak trading session on Tuesday (18th November 2025), with the ASPI declining 172.02 points (-0.72%) to close at 23,051.66, extending its pullback from the all-time high of 23,769.5. Market sentiment remained cautious as investors continued to lock in profits, while selective buying emerged in fundamentally strong counters amid the broader market correction.

The ASPI initially gained 123 points during the first half of the session, but renewed selling pressure in heavyweight counters erased early gains, pushing the index sharply lower by market close. The S&P SL20 also retreated, shedding 33.46 points (-0.52%) to end at 6,376.54.

As of 18th November, 271 companies have released their quarterly earnings, reporting a combined LKR 175.42 Bn in net profits. This reflects a 14.02% QoQ increase, although YoY earnings declined by 22.84%, signaling continued normalization following last year’s extraordinary profit surge. Despite this YoY moderation, strong results from select companies sustained interest in fundamentally stable counters.

The Capital Goods sector led market activity, generating LKR 1.47 Bn in turnover. HAYL.N was the top contributor for the day, recording LKR 372.88 Mn in turnover with 1.91 Mn shares traded.

Total market turnover amounted to LKR 4.43 Bn, with 137.81 Mn shares changing hands. Crossings contributed LKR 282 Mn (6% of total turnover), led by a block trade in JKH.N valued at LKR 68 Mn with 3.0 Mn shares traded.

Market breadth remained deeply negative, with 47 gainers against 178 decliners, reflecting continued consolidation pressure following the recent rally.

On the performance front, BUKI.N was the top positive contributor, adding 11.92 points to the ASPI. Other notable positive contributors included JKH.N, CTC.N, SEYB.N, and SEMB.N.

On the downside, SFCL.N weighed most on the index, dragging it by 19.84 points, followed by declines in HNB.N, RICH.N, DFCC.N, and DIAL.N.

Among notable trades, HAYL.N saw strong investor activity on the board, generating LKR 314 Mn in turnover with 1.61 Mn shares traded, reflecting sustained institutional and retail interest in the counter.