CSE in vibrant mode subsequent to SC ruling on Inland Revenue (Amendment) Bill

By Hiran H.Senewiratne

Investor sentiment at the CSE was positive throughout yesterday mainly due to the Supreme Court determination that the Inland Revenue (Amendment) Bill is not inconsistent with the Constitution and could be passed in parliament by a simple majority, market analysts said.

Speaker Mahinda Yapa Abeywardena told parliament yesterday that the court had held that neither the bill nor any of its provisions are inconsistent with article 12 or any provisions of the Constitution. The bill was challenged in the Supreme Court in terms of article 121(1) of the Constitution.

‘This has resulted in clearance from the country’s highest court to go ahead with the domestic debt restructuring exercise during this month. Therefore, buying interest was noted in banking sector counters, market analysts added.

Consequently, both indices moved upwards. The All- Share Price Index went up by 108.38 points and S and P SL20 rose by 43 points. Turnover stood at Rs 2.7 billion with three crossings. Those crossings were reported in JKH, which crossed 775,000 shares crossed to the tune of Rs 148 million; its shares traded at Rs 191.25, Central Finance 400,000 shares crossed for Rs 51 million; its shares sold at Rs 128 and Aitken Spence 200,000 shares crossed for Rs 30 million; its shares traded at Rs 150.

In the retail market top seven companies that mainly contributed to the turnover were; JKH Rs 241 million (1.2 million shares traded), Central Finance Rs 234 million (1.7 million shares traded), Capital Alliance Rs 170 million (1.9 million shares traded), Commercial Bank Rs 137 million (1.4 million shares traded), CIS Holdings Rs 115 million (1.6 million shares traded), Hayleys Fabrics Rs 108 million (2.2 million shares traded) and Lanka IOC Rs 87.4 million (707,000 shares traded). During the day 75 million share volumes changed hands in 21000 transactions. Gainers during mid- day trade were Hatton National Bank, Ceylon Tobacco Company and Commercial Bank.

Yesterday the US dollar buying rate was Rs 314.87 and selling rate Rs326.65.