The benchmark all share price index (ASPI) of the Colombo Stock Exchange (CSE) recorded significant gains outperforming all other main indexes around the globe during September. The ASPI gained12 percent in September and in value terms by Rs. 279.6 billion.
The S&P SL20 index, which features the CSE’s 20 largest and most liquid stocks also gained in September by 4.39 percent closing at 2,463.27points on September 30. The average number of trades carried out in a trading day during September was 20,607, 96 percent higher than the year-to-date average number of trades done per day, a significant improvement in trading activity and investor engagement in September.
In terms of market turnover, a Rs. 50 billion consolidated turnover was recorded in September. CSE Chairman Dumith Fernando said, “We are extremely happy that the local stock market has continued its upward trajectory since reopening on May 11, outperforming global giants. The continued low interest rate environment has led to more financial assets being moved from low yielding fixed income assets into the share market and we expect it to continue in the coming months.
We have also witnessed much stronger confidence levels in the earnings growth of listed corporates as a result of the post Covid-19 bounce back and lower financing costs. Companies are being rewarded by investors who continue to expect strong earnings in the coming quarters.”