📉 CSE Plunges 3.5% as Mideast Tensions Wipe Out Rs. 701 Bn

The Colombo Stock Exchange (CSE) hit a six-month low on Monday, driven by investor panic over escalating conflict in the Middle East. Since 28 February, the market has seen a massive value erosion of approximately Rs. 701 Bn. • Market Performance Overview The All Share Price Index (ASPI) dropped 3.47% (753.29 points) to close at 20,939.26. The blue-chip S&P SL20 index fell 3.28% to 5,884.93, marking an 11.3% decline since the onset of regional instability. • Sector & Counter Movements Market breadth was heavily negative, with 261 counters declining against only 12 gainers. Key heavyweights leading the slide included John Keells Holdings (JKH), Commercial Bank (COMB), HNB, Dialog, and DFCC. • Trading Activity & Turnover Daily turnover reached Rs. 6.6 Bn with 588 million shares traded. • Diversified Financials led turnover at 26%. • Capital Goods and Banking sectors collectively contributed 38%. • Ceylon Land and Equity was the top turnover contributor (Rs. 1.25 Bn). • Investor Sentiment Retail activity remained elevated due to panic-selling, while High Net Worth (HNW) participation was subdued. Despite the slump, foreigners remained net buyers with an inflow of Rs. 54.4 Mn, as some investors engaged in bargain-hunting at discounted price levels.