IMF-SL staff-level agreement sends positive vibes to share market

By Hiran H.Senewiratne

Stock market trading turned positive yesterday after the IMF and Sri Lankan authorities achieved a staff-level agreement on economic policies the previous day, marking a significant step in concluding the second review of the 4-year Extended Fund Facility (EFF)-supported program.

Further, President Ranil Wickremesinghe made a positive comment at a meeting held this week to the effect that Sri Lanka’s economy will become stable during the months of June and July. This also created a positive investor sentiment in the market. He made these remarks during his attendance at the inauguration ceremony of the Bodhigara and Golden Fence, constructed near the historic Mangedara Tempita Viharaya in Kegalle.

The All Share Price Index went up by 84.88 points while S and P SL20 rose by 41.76 points. The turnover stood at Rs 1.5 billion with three crossings. Those crossings were reported in Sampath Bank, which crossed 900,000 shares to the tune of Rs 67.5 million; its shares traded at Rs 75, NTB 499,000 shares crossed for Rs 52.1 million; its shares traded at Rs 104.50 and Windforce 1.3 million shares crossed for Rs 25.4 million; its shares traded at Rs 19.60.

In the retail market top seven companies that mainly contributed to the turnover were; Hayleys Rs 210 million (2.5 million shares traded), HNB Rs 97.8 million (591,000 shares traded), Chevron Lubricants Rs 66.5 million (627,000 shares traded), Vallibel One Rs 65.5 million (1.3 million shares traded), JKH Rs 59.70 million (316,000 shares traded), Royal Ceramic Rs 50.3 million (1.6 million shares traded), and ACL Cables Rs 48.5 million (588,000 shares traded). During the day 44.9 million share volumes changed hands in 12000 transactions.Yesterday, the US dollar buying rate was Rs 298.99 and selling rate Rs 308.69.