The Colombo Stock Exchange extended its positive momentum for a third consecutive session on Friday, 4 September 2026, with both benchmark indices recording gains of more than 1% amid a sharp improvement in buying interest across the broader market.

The All Share Price Index surged by 225.33 points, or 1.05%, to close at 21,620.44, while the S&P Sri Lanka 20 Index advanced by 63.67 points, or 1.06%, to end the session at 6,058.92.The ASPI opened around the 21,420 level and maintained a steady upward trajectory through most of the session. The index moved above 21,500 during the morning before strengthening beyond 21,600 in afternoon trading. It reached an intraday high above 21,630 before easing slightly towards the close.Total market turnover reached LKR 2.68 billion, with approximately 79.02 million shares changing hands during the session.

The Food, Beverage and Tobacco sector dominated market activity, generating approximately LKR 644.91 million in turnover from 21.70 million shares. Sunshine Holdings accounted for the majority of sector activity, recording approximately LKR 472.65 million in turnover.Crossing transactions contributed approximately LKR 160.32 million, representing around 6% of total equity turnover. The largest crossing was recorded in Vallibel One, where 643,571 shares changed hands at LKR 90.00, generating approximately LKR 57.92 million. Other notable crossings were recorded in Sunshine Holdings, ACL Cables, C T Holdings and East West Properties.

Foreign investors turned net sellers during the session, recording a net foreign outflow of LKR 66.99 million. However, the relatively modest outflow did little to offset the strong domestic buying momentum.Market breadth strengthened considerably, with 175 securities advancing against just 57 decliners, resulting in an advance-to-decline ratio of 3.07. The strong breadth indicated that the market rally was supported by widespread buying rather than being concentrated only among a handful of index-heavy counters.

Dialog Axiata was the strongest positive contributor to the ASPI, adding 28.05 points to the index. Hayleys, RIL Property, Ceylon Cold Stores and Colombo Dockyard also provided significant support.

Browns Investments recorded the largest negative contribution, reducing the ASPI by 10.87 points. Lion Brewery, Carson Cumberbatch, Melstacorp and National Development Bank also weighed on the index.

Among notable trades, Sunshine Holdings recorded the highest individual counter turnover at approximately LKR 472.65 million, followed by Dialog Axiata with LKR 139.14 million and ACL Cables with LKR 101.23 million.

Overall, the session marked a notable strengthening in short-term market momentum. The combination of gains exceeding 1% in both benchmark indices, a three-session winning streak and an advance-to-decline ratio above 3.0 highlighted a clear improvement in broader investor sentiment heading into the next trading week.