CSE Ends Down Sharply as LKR Depreciation Weighs on Market Sentiment 📉

The Colombo stock market recorded sharp losses yesterday, driven by investor concerns over a depreciating Sri Lankan Rupee (LKR) against the USD, macroeconomic uncertainties, and global supply shock headwinds from geopolitical tensions. • Overall Figures: ASPI: Down 2.28% (-509.02 points) to close at 21,789.05. S&P SL20: Down 1.87% (-114.77 points) to close at 6,034.00. Market Turnover: Reached over Rs. 3.8 Bn with nearly 175.7 Mn shares traded. Foreign Institutional Activity: Net foreign inflow of Rs. 39 Mn, marking a second consecutive session of net buying. • Sector & Stock Breakdowns: Capital Goods: Led market turnover with a 36% share, though the sector index shed 1.68%. Top sector contributors included John Keells Holdings (down Rs. 0.50 to Rs. 19.80), Hayleys (down Rs. 2.00 to Rs. 234.00), and Access Engineering (down Rs. 0.60 to Rs. 74.80). Banking & Diversified Financials: Combined to contribute 24% of daily turnover. The banking sector index decreased by 1.49%, heavily dragged by Hatton National Bank (non-voting) which fell Rs. 9.25 to Rs. 329.25. Top Negative Contributors: Melstacorp (MELS), Sampath Bank (SAMP), JKH, Ceylinco Insurance (CINS), and HNB emerged as the largest drags on the ASPI. • Investor Participation: High Net Worth (HNW) and institutional investor activity remained subdued but focused on JKH, Hayleys, and Access Engineering. Retail investor activity was notably strong, with high interest observed in counters like Citrus Leisure, Co-Operative Insurance Company, and Browns Investments.