The Bourse Weekly Performance (Week-ended 7th June 2013)

The Bourse Weekly Performance (Week-ended 7^th June 2013)

	Week-ended 31st May 2013	Week-ended 7th June 2013
All Share Price Index	6,463.06	6,307.43
S&P SL20 Index	3,646.32	3,550.47
Total Turnover for the week	5,441,981,414/-	4,855,541,001/-
Total Net Foreign Inflow/ (Outflow)	573,905,074/-	1,939,423,193/-
Market Capitalisation	2,481,835,737,088/-	2,422,128,523,280/-
Market PER	17.50	17.12

This week the Colombo bourse saw its large cap counters dragging its main indices down drastically. Experts pointed out that, after the recent rally that took place towards the latter part of May, the market seems to be consolidating on profit taking. A recent Reuters report also pointed out that uncertainty over when the US Federal Reserve would begin scaling down its massive stimulus program dragged the performance of Asian shares as a whole. However, regardless of the said article, Foreigners were seen to be craving for selected stocks at the Colombo bourse and the Net foreign inflow for the year surpassed Rs. 15.6Bn. Key dividend players which saw considerable rallies recently encountered steep price dips while retailers remained cautious of the correction in the index, thereby focusing on a few selected counters. Overall, the market lost 155 and 95 points respectively in terms of the ASI and S&P indices.

The turnover levels were marginally lower than the previous week, where the average daily turnover for the week was Rs. 971Mn, marginally below the daily average reported for 2013. The highest contributors for the weekly turnover were fundamental stocks such as JKH, COMM, HNB and CTC. In sector statistics, all indices reported negative weekly returns highest of which came in from the Services sector.

The momentary set back has dropped the year to date gains of the Colombo bourse to 11.7%. However, CSE is still ahead of many historically proclaimed fast growing economies such as Brazil, Russia, India, China and South Africa. Except China all the other exchanges are seen to be making negative year to date returns.