Market slides below 22,000

By Almas Equities Research

The Colombo Stock Exchange (CSE) began the week on a weak footing, with both key indices closing sharply lower amid broad-based selling pressure. Investor sentiment turned increasingly cautious, weighed down by economic uncertainties and lingering after-effects of the recent cyclone, prompting a clear risk-off approach.

The All Share Price Index (ASPI) declined 250.89 points (-1.13%) to close at 21,898.20, slipping below the psychologically important 22,000 level, while the S&P SL20 fell 42.18 points (-0.70%) to 6,014.36.

Total market turnover stood at LKR 2.97 billion, with 81.90 million shares traded. Activity was led by the Capital Goods sector, which recorded LKR 0.99 billion in turnover from 25.89 million shares. Within the sector, HHL.N emerged as the highest turnover contributor, generating LKR 0.43 billion with 12.69 million shares traded.

Crossings accounted for LKR 0.53 billion, representing 17% of total turnover. The largest crossing was recorded in HHL.N, amounting to LKR 340 million from 10.0 million shares.

Market breadth remained decisively negative, with 172 decliners outweighing just 40 gainers, underscoring subdued market sentiment. On the upside, SFCL.N led positive contributions, adding 9.65 points, followed by NTB.N, DIAL.N, MGT.N, and LMF.N. Conversely, DOCK.N was the largest drag on the index, shedding 68.27 points, alongside HNB.N, RICH.N, CARG.N, and JKH.N.

Among notable trades, DOCK.R recorded heavy activity, generating LKR 480 million in turnover with 8.56 million shares traded, and closing the session with a sharp 49.5% price decline, adding to the day’s downside pressure.

Overall, the session reflected heightened risk aversion, as investors remained cautious amid macro uncertainty and post-cyclone assessments.