CSE on a sharp re-bounce following two days of steep fall

By Hiran H.Senewiratne

The CSE rebounded sharply yesterday after two days of steep fall. Initially, the stock market started on a negative note but later bounced bank after the World Bank agreed to provide US$ 600 million in financial assistance to address the current economic crisis, market analysts said.

The World Bank said that US$ 400 million will be released shortly under the first phase, which was sort of emergency funding. However, the macroeconomic front is not positive for the market, market analysts said.

Amid those developments both indices moved upwards. The All -Share Price Index went up by 375 points and S and P SL20 rose by 287 points. Turnover stood at Rs 2.1 billion with four crossings. Those crossings were reported in Commercial Bank, which crossed 4.2 million shares to the tune of Rs 213 million; its shares traded at Rs 50, Windforce’s five million shares crossed to the tune of Rs 67.5 million, its shares traded at Rs 13.50, Sampath Bank one million shares crossed to the tune of Rs 35.3 million; its shares traded at Rs 35.30 and Citizens Developments Bank 107,000 shares crossed to the tune of Rs 21.5 million, its shares fetched Rs 201.

In the retail market top seven companies that mainly contributed to the turnover were; Expolanka Holdings Rs 721 million (5.8 million shares traded), Browns Investments Rs 145 million (28.4 million shares traded), Commercial Bank Rs 117 million (2.3 million shares traded), LOLC Finance Rs 77.8 million (40.1 million shares traded), Royal Ceramic Rs 42.1 million (1.4 million shares traded), LOLC Holdings Rs 41 million (135,000 shares traded) and Access Engineering Rs 31.8 million (3.1 million shares traded). During the day 144 million share volumes changed hands in 20000 transactions.

Sri Lanka’s commercial banks quoted the dollar at Rs 345/355 for telegraphic transfers on April 27, rising from the previous day, while the secondary market remained mostly inactive ahead of the bill auction, market participants said.

The central bank’s indicative spot was quoted at Rs 337.9 against the US dollar on Wednesday, down from Rs 340.46 on Tuesday.