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View all(116)Sri Lanka Rupee Gains Slightly as Stocks Rise & Bond Yields Hold Steady 📈
• Foreign Exchange & Currency: • Spot Rupee: Appreciated slightly to 332.54/58 per US dollar (vs 332.55/60 on Friday). • Telegraphic Transfer (TT) Rates: • USD: Buying 328.05 | Selling 337.05 • EUR: Buying 363.35 | Selling 377.13 • GBP: Buying 437.60 | Selling 451.70 • Government Securities & Debt: • Bond Yields: Broadly steady across key tenors: • 15.09.2029: 10.90/95% (up from 10.85/95%) • 01.08.2030: 11.00/10% (down from 11.05/10%) • 01.02.2031: 11.10/20% (up from 11.10/15%) • 15.12.2032: 11.58/68% (up from 11.55/65%) • 01.06.2033: 11.80/95% (up from 11.80/85%) • 15.10.2034: 12.08/15% (up from 12.05/12%) • 15.08.2036: Flat at 12.30/40% • Upcoming Auction: Rs 90,000 Mn in Treasury bills to be auctioned on Nov 11. • Stock Market: • All Share Price Index (ASPI): Up 0.78% (+165.42 pts) to 21,405. • S&P SL20 Index: Up 0.58% (+35.19 pts) to 6,080.
📈 CSE Gains 1.37% as Banking Sector Drives Market Turnover
• Market Indices: The Colombo Stock Exchange closed on a positive note on Monday. The All Share Price Index (ASPI) gained 1.37% (+291.72 pts) to close at 21,531.37, while the liquid S&P SL20 rose 1.67% (+100.96 pts) to reach 6,146.34. • Turnover & Sector Breakdown: Total market turnover reached LKR 3.33 Bn. The banking sector (S&P/CSE Banks Industry Group) led trading activity with LKR 667.76 Mn in turnover. Session saw heavy crossings including HAS Holdings (LKR 41.5 Mn), Prime Lands (LKR 40.5 Mn), and Hatton National Bank (LKR 39.5 Mn). • Key Stock Movers: • Top Gainers: Asiri Hospital Holdings (+12.86% to LKR 31.60), Tokyo Cement (+5.22% to LKR 84.70), Access Engineering (+3.93% to LKR 81.90), Commercial Bank (+2.86% to LKR 216.00), and Hatton National Bank (+1.52% to LKR 399.75). • Top Drag: Carson Cumberbatch (-4.24% to LKR 712.00), Renuka Holdings (-2.63%), Richard Pieris (-2.43%), LOLC Holdings (-0.62%), and Chevron Lubricants (-0.61%). • Corporate News: Hayleys Retail Holdings partnered with supply chain software firm Blue Yonder to launch and scale an AI-native grocery supermarket chain across Sri Lanka, integrating ICT/BPM and digital infrastructure into local retail.
📈 Sri Lanka Secondary Bond Market Rallies; Yield Curve Shifts Down
• Market Overview: Secondary bond market experienced a strong rally with yields declining sharply across medium to longer-tenor maturities, driven by falling global oil prices and declining regional bond yields. • Bond Yield Movements: • Short-end (2026-2027): 15.12.26 traded at 9.40%-9.36%; 15.01.27 at 9.45%-9.40%. • Medium-term (2030): 01.03.30 dropped from 11.47% to 11.00%; 15.10.30 dropped from 11.62% to 11.00%. • Long-end (2034-2036): 15.10.34 fell from 12.63% to 12.00%; 15.08.36 dropped from 12.90% to 12.25%. • Treasury Bill Auction: • 91-day yield rose +1 bps to 9.35%. • 182-day (9.44%) and 364-day (9.95%) yields held steady for the 5th straight week. • PDMO raised Rs. 65.9 Bn (73.22% of Rs. 90 Bn offered); total bids reached 1.73x offer. • Liquidity & Foreign Holdings: • Surplus market liquidity hit an 8-month high at Rs. 422.29 Bn (up from Rs. 392.68 Bn). • Foreign holdings in rupee treasuries dropped 3.20% (-Rs. 6.08 Bn) to Rs. 184.86 Bn—marking the 3rd consecutive week of outflows. • Forex & Money Market: • USD/LKR closed broadly steady at Rs. 332.50/332.60 (traded range: Rs. 332.30 – 332.80). • Average daily forex volume: US$ 72.28 Mn. • Call Money & Repo weighted average rates closed at 9.04% and 9.13%.
📈 India Dominates Emerging Market Foreign Inflows with $ 4.11 Bn Influx
India's equity market surged in the first week of November, with the Nifty50 rising 8.58% driven by massive foreign portfolio investor (FPI) interest. • Key Market Inflows: India attracted net FPI investments of US$ 4.11 Bn in equity, making it the top recipient among emerging markets. Dubai ranked a distant second with US$ 165 Mn, followed by marginal inflows into Malaysia, Qatar, and the Philippines. • Regional Capital Outflows: Outflows impacted major Asian technology hubs as investors took profits on AI-related stocks. Taiwan recorded foreign net outflows of US$ 15.7 Bn, followed by South Korea at US$ 7.93 Bn. Regional markets including Thailand, Indonesia, and Vietnam also faced net outflows. • Primary Growth Drivers: Strong domestic consumption, infrastructure spending, political stability, and a 1.94% rupee appreciation against the US dollar (supported by falling crude oil prices) boosted investor confidence. • Diversification & De-risking: Global funds rotated into Indian non-AI sectors as part of a strategic de-risking and diversification play following recent equity price corrections. • Market Outlook: Analysts note the shift reflects long-term economic stability, though sustained monthly inflows will be required to confirm a long-term structural trend.
📈 Foreign Investors Exit Sri Lanka Rupee Bonds for 3rd Straight Week
Foreign investors recorded net sales of Sri Lankan rupee-denominated government securities for the third consecutive week ending November 5, 2026, according to Central Bank data. • Key Outflows & Net Positioning: • Weekly Outflow: Net foreign selling reached Rs. 6.075 Bn (US$ 218.4 Mn) in the week ended Nov 5. • 5-Week Trend: Total net foreign outflows totaled Rs. 28.5 Bn over the past five weeks, marking net selling in 5 of the last 21 weeks. • Year-to-Date (YTD): Cumulative net foreign inflows stand at Rs. 43.6 Bn so far this year (following net inflows of Rs. 71.5 Bn in 2025). • Macroeconomic Context & Factors: • Global Drivers: Exits coincided with political shifts from the U.S. mid-term elections and geopolitical developments in the Middle East impacting global risk appetite. • Exchange Rate & Inflation: The Sri Lankan rupee has depreciated 6.7% YTD through Nov 6, driven by higher oil and vehicle imports. • Policy Response: The Central Bank executed a 100 bps rate hike in May to curb inflationary pressures following fuel price increases, stabilizing the rupee after a prolonged period of steady policy.
📈 Sri Lankan Bond Yields Plunge for 4th Session as Rupee Appreciates
• Market Sentiment & Drivers Aggressive buying accelerated secondary government securities market yields lower across all maturities for a fourth consecutive day. Sentiment was buoyed by falling global oil prices (Brent crude ~US$ 95/bbl) and easing international bond yields. • Secondary Bond Yield Ranges Yields dropped sharply across key maturity segments: • 2029s: 15.09.29 (10.95%-10.80%), 15.12.29 (11.00%-10.90%) • 2030s: Traded lower down to ranges of 10.95%-11.40% • 2031s: 01.02.31 (11.50%-11.00%), 01.12.31 (11.55%-11.25%) • 2032s–2033s: 15.12.32 (11.75%-11.55%), 2033 maturities traded down to 11.80%-12.00% • 2034s–2036s: 15.10.34 (12.40%-12.00%), 15.08.36 (12.70%-12.25%) • Money Market Liquidity • Net liquidity surplus: Rs. 143.18 Bn • CBSL Standing Deposit Facility (SDFR at 8.25%): Rs. 115.42 Bn deposited • CBSL Standing Lending Facility (SLFR at 9.25%): Rs. 0.24 Bn withdrawn • Overnight repo auction: CBSL mopped up Rs. 28 Bn at weighted average yield of 8.75% • Call money & Repo weighted average yields: 9.04% and 9.12% respectively • Forex Market The Sri Lankan Rupee strengthened on spot contracts, closing at Rs. 332.45/332.50 per USD (vs Rs. 332.75/332.80 previously). Total USD/LKR traded volume stood at US$ 71.35 Mn.
📈 CSE Surges Past 21,000 Points with Rs. 390 Bn Market Value Gain
The Colombo Stock Exchange extended its upward trajectory for a third consecutive session, driven by heightened retail and high-net-worth investor participation. • Key Market Indices & Movement: - ASPI: Gained 2.87% (+589.18 points) to close at 21,130.30. - S&P SL20: Advanced 3.34% (+194.79 points) to reach 6,029.88. - Market Capitalization: Value increased by nearly Rs. 390 Bn since Monday. • Trading Activity & Investor Sentiment: - Turnover: Exceeded Rs. 5.4 Bn with over 258.3 million shares traded, reaching its highest level since August. - Market Breadth: Positive momentum with 227 advancing stocks against 32 declines. - Foreign Cash Flow: Net outflow of nearly Rs. 228 million. - Key Market Drivers: Positive global cues from US midterm elections and falling global oil prices below $100/barrel helped ease local inflation concerns. • Sector & Stock Highlights: - Banking Sector: Led total daily turnover with a 20% contribution. - Materials & Capital Goods: Accounted for a combined 30% of total turnover. - Top Stock Contributors: COMB, DIAL, HAYL, LOLC, and OSEA led ASPI gains.
📈 Sri Lanka Rupee Strengthens to 332.45/55; Bond Yields Drop Drastically
• Currency Market: The Sri Lankan Rupee appreciated against the US Dollar, closing at 332.45/55 spot on Thursday compared to 332.75/80 recorded the previous day. • Government Securities & Bond Yields: Treasury bond yields experienced a sharp downward movement across multiple maturities: • 15.12.2027: Dropped to 10.00/10% (from 10.20/40%) • 15.09.2029: Dropped to 10.85/95% (from 11.10/15%) • 01.08.2030: Dropped to 11.00/10% (from 11.45/50%) • 01.02.2031: Dropped to 11.10/20% (from 11.60/65%) • 15.12.2032: Dropped to 11.50/60% (from 11.97/12.05%) • 01.06.2033: Dropped to 11.80/90% (from 12.20/30%) • 15.10.2034: Dropped to 12.00/10% (from 12.40/46%) • 15.08.2036: Dropped to 12.20/30% (from 12.70/75%)
📈 Colombo Stock Exchange Opens Higher as ASPI Gains 2.17%
• Overall Figures: The All Share Price Index (ASPI) rose 2.17% (+446.02 points) to reach 20,987.14. The S&P SL20 index increased 2.51% (+146.42 points) to 5,981.51. Total market turnover stood at Rs 2.44 Bn. • Sector & Industry Breakdown: The Materials industry group led market turnover, generating Rs 588.50 Mn. • Top Gainers: • LOLC Holdings (+6.06% to Rs 398.00) • Hayleys (+3.95% to Rs 230.00) • Dialog Axiata (+3.33% to Rs 46.50) • Commercial Bank of Ceylon (+1.86% to Rs 205.25) • Hatton National Bank (+1.30% to Rs 390.00) • Top Losers: • SMB Finance (-10.00% to Rs 0.90) • Luminex (-2.38% to Rs 8.20) • First Capital Treasuries (-0.80% to Rs 24.80)
📈 Sri Lanka Stocks Surge ~3% on US Election Sentiment Boost
The Colombo Stock Exchange (CSE) closed sharply higher on Thursday, driven by renewed investor confidence following the US midterm election outcome. • Market Performance ASPI: Surged +2.87% (+589.18 pts) to close at 21,130.30. S&P SL20: Rose +3.89% (+226.89 pts) to 6,061.98. Market Turnover: Reached LKR 5.43 Bn, led by banking & financial services (S&P/CSE Banks index turnover at LKR 1.10 Bn). • Top Stock Movers Gainers: Overseas Realty (+7.82%), LOLC Holdings (+6.93%), Dialog Axiata (+3.78%), Hayleys (+3.28%), and Commercial Bank (+2.36%). Decliners: Agarapatana Plantations (-7.80%), Ceylinco Holdings (-2.02%), First Capital Treasuries (-1.60%), and Ceylon Tobacco Company (-0.25%). Notable Crossings: Lanka Milk Foods (LKR 223.08 Mn), Cargills Bank (LKR 202.06 Mn), Royal Ceramics (LKR 119.58 Mn), and DFCC Bank (LKR 97.50 Mn). • Corporate & Credit Updates Telecommunications: Fitch Ratings upgraded Sri Lanka Telecom PLC (SLT) National Long-Term Rating to ‘AA+(lka)’ from ‘AA-(lka)’ with a Stable Outlook, following government retention of its stake and strong position in fixed broadband and fibre infrastructure.
📈 Sri Lanka Stock Sell-Off 'Overdone' Amid Middle East Tensions, Say Analysts
• Equities & Currency: Sri Lankan stocks are down ~17% in US$ terms YTD—largely driven by external West Asia conflict rather than domestic structural issues—compared to Pakistan's minor 1% decline. The Sri Lankan Rupee has also weakened, but market reactions appear overextended given the country's broader economic recovery post-2022 crisis (lower inflation, improved political stability). • Valuations & Asset Outlook: Market momentum early this year was strong before regional geopolitical friction hit asset prices. Valuations across both equities and fixed income are now near cyclical lows, creating attractive entry prices for investors. Higher interest rates in fixed income further support entry opportunities. • Key Drivers: Analysts note that primary headwinds remain external and geopolitical. Once Middle Eastern tensions subside, Sri Lankan financial markets and regional peers are expected to regain upward momentum.
📈 Sri Lanka Stocks Close Up; Tourism Up 2.1% YoY in Oct 2026
• Market Overview: The Colombo Stock Exchange closed higher on Tuesday, with the benchmark ASPI gaining 0.20% (+40.09 points) to reach 20,119.64. The S&P SL20 index rose 0.36% (+20.71 points) to 5,722.57. Total market turnover stood at LKR 1.52 Bn. • Stock Drivers: Positive momentum was led by Dialog Axiata (+1.39%), Overseas Realty (+1.67%), and Hayleys (+0.57%). Top negative contributors included Carson Cumberbatch (-4.42%) and CDB Finance (-7.34%). Notable crossings included Overseas Realty (LKR 182 Mn) and John Keells Holdings (LKR 36 Mn), alongside high momentum in PickMe (LKR 245 Mn traded). • Tourism Sector: Visitor arrivals reached 168,625 in October 2026, marking a 2.1% YoY increase compared to 165,193 in October 2025. Total year-to-date arrivals reached 1.86 Mn. • Top Source Markets: India led total arrivals with 62,211 visitors (37% share), followed by the UK (12,402) and China (11,190).