The Colombo Stock Exchange closed the week down 0.9 percent in a cautious, volatile session dominated by geopolitical uncertainty, according to the Daily FT.
The All Share Price Index shed 205.7 points over the five trading days, while the more liquid S&P SL20 Index fell 59.3 points. Foreign investors were net sellers throughout, with an outflow of more than Rs. 2.6 billion for the week, taking year-to-date foreign selling to Rs. 24.9 billion.
Friday saw the ASPI edge up 1.05 points to 22,567.63 and the S&P SL20 slip 0.02 percent, or 1.11 points, to 6,204.62. Market turnover was more than Rs. 2 billion on over 120 million shares traded, with foreigners net sellers by Rs. 31 million.
First Capital Research attributed the market’s caution to the uncertain global environment stemming from US-Iran tensions, which kept participation from both high-net-worth and retail investors subdued.
Ceylon Investments (CINS), Ceylon Tobacco (CTC), Commercial Bank (COMB), John Keells Holdings (JKH) and Melstacorp (MELS) were the top positive contributors to the benchmark. The capital goods sector led daily turnover with a 17 percent share, followed by food, beverages and tobacco, and banking, which together accounted for 31 percent.
The weekly decline contrasts with the previous week’s Rs. 401 billion market value gain, which was driven by optimism around the US-Iran ceasefire extension. Since then, Brent crude has climbed back above $106 as Trump tightened the Hormuz posture, pressuring Sri Lankan equities.
