📉 CSE Slump Continues: Rs. 1.1 Trillion Wiped Since Middle East Conflict

The Colombo Stock Exchange (CSE) failed to hold early gains yesterday as panic selling intensified, driven by regional instability and domestic economic concerns. • Market Performance: The All Share Price Index (ASPI) fell by 2.49% (521.17 points) to 20,418.09. The S&P SL20 dropped 2.11% to 5,760.99. • Value Erosion: Since the Middle East conflict began on Feb 28, the market has lost over Rs. 1.1 trillion in value. • Investor Sentiment: Panic selling among retail investors was triggered by margin call fears, fuel shortages, and potential power cuts. 227 counters declined, while only 34 gained. • Sector Activity: The Capital Goods sector led turnover (32%), followed by Banking and Diversified Financials (25%). Key decliners included COMB, HAYL, DOCK, NDB, and AEL. • Foreign Interest: Foreign investors remained net sellers with an outflow of Rs. 104.7 million yesterday, bringing the total year-to-date net foreign outflow to Rs. 17.2 billion. • Liquidity: Daily turnover stood at over Rs. 5 billion with 274 million shares traded, though High Net Worth (HNW) participation remained subdued.