News & market updates

HNB Finance PLC reported PAT of Rs.1.15bn for the nine months to 31 Dec 2025, up 152% YoY (PBT Rs.1.88bn, +209%). Assets rose 46% to Rs.85.6bn, deposits +45% to Rs.61.0bn, net interest income +52% to Rs.6.03bn; leasing +81%, gold loans +52%.

Gross official reserves fell marginally to $6.82 billion at end-January, down 0.15% month-on-month. Gold reserves rose 26% to $109 million and 12-month short-term outflows are estimated at $3.92 billion.

Gold rebounded to $4,953.18 per troy ounce on 13 Feb 2026, up 0.64%, recovering from a near one-week low as investors positioned ahead of key US inflation data that could shape interest rate expectations.

Asian stocks hit a record high as stronger-than-expected U.S. jobs data lifted Treasury yields and reduced near-term Fed rate-cut odds; oil prices rose and the dollar firmed while the yen strengthened.

Sri Lanka's official reserve assets fell 0.2% in January 2026 to USD 6,824m (from USD 6,838m); foreign exchange reserves declined 1% to USD 6,680m while gold holdings rose 26.8% to USD 109m. Reserves include about USD 1.4bn of FX swap proceeds from China's People's Bank, subject to conditions.

Asian stocks surged as Japan's Nikkei jumped 4.4% after PM Sanae Takaichi's decisive win and a strong rebound in U.S. chip stocks, supported by growing bets on U.S. rate cuts; commodities moved too with gold and silver up and oil slightly lower.

Asian shares wobbled as U.S. and European selloffs driven by AI-related pressure on software hit markets, while oil rose after the U.S. shot down an Iranian drone and gold rebounded from a recent rout.

JP Morgan forecasts gold will reach $6,300/oz by year-end, citing strong central‑bank and investor demand and forecasting 800 tons of central‑bank purchases in 2026. Spot gold was $4,677.17/oz and spot silver about $78.90/oz as of the report.

Lanka Credit and Business Finance PLC relocated its Matara branch to 3/1/2, Nupe Junction, Galle Road, Matara on 27 January 2026. The company said the move aims to improve service to customers and highlighted deposit products and gold loans among its offerings.

L B Finance PLC was assigned an initial entity rating of A+ with a Stable Outlook by Lanka Rating Agency. The agency cited its leading market position (≈12.3% of sector assets), strong asset quality, diversified lending (gold loans ~38%, leasing/vehicle ~42%) and noted it is 51.75% held by Vallibel One.

Spot gold hit a record high near $5,600/oz (about $5,542 by 0149 GMT) as investors sought safety amid geopolitical and economic uncertainty; spot silver approached $120/oz.

Gold broke above $5,200 per ounce for the first time as the dollar plunged to a near four-year low ahead of the U.S. Federal Reserve decision. Spot gold was around $5,220/oz, up more than 20% year-to-date, while U.S. futures also rose.

Gold surged to a record above $5,000 an ounce, with spot gold at $5,071.96 (touching $5,085.50) after a 1.79% rise, as investors sought safe havens amid geopolitical uncertainty, dollar weakness and expectations of US monetary easing.

Gold surged to a record above $5,000 an ounce, with spot at $5,071.96 (+1.79%) as investors piled into the safe-haven amid geopolitical uncertainty. Prices are up 64% in 2025, supported by central bank buying and expectations of U.S. monetary easing.

Gold hit a record high of $4,904.66/oz on Jan 22 and Goldman Sachs raised its year-end target to $5,400/oz, citing geopolitical tensions, a weaker dollar, expectations of Fed rate cuts, and strong central bank and investor demand.

Gold rose to a record above $4,800 per ounce (spot $4,821.26, earlier $4,843.67) as safe-haven demand and a softer dollar drove buying amid US-EU tensions over Greenland; expectations the Fed will hold rates also supported bullion.

Sri Lanka's central bank will present a report to Parliament showing inflation below 2% in Q1–Q2 2025 (with -1.1% in Q2 and 0.8% in Q3), missing its 5% floor. The achievement has drawn praise but also concerns about the central bank's exchange-rate and operating framework.

NGJA Chairman Dr. S.P. Chaminda said Sri Lanka is exploring a domestic gold refinery to process less-refined gold locally, reduce reliance on fully refined imports facing roughly 45% import levies, curb smuggling and support jewellery exports; discussions with foreign firms are ongoing and hoped to conclude this year.

Richard Pieris Finance reported profit before tax of Rs. 292 million for the six months to 30 Sep 2025 (PBT >75% y/y), with PAT up 47% and total assets rising 20% to over Rs.20 billion, driven by improved lending, cost discipline and supported by a Fitch 'A(lka)' Stable rating.

Gold hit $4,689.39/oz and silver $94.08/oz after US President Trump's tariff threat, driving investors to safe-haven metals and weighing on European shares. Analysts also cited expectations of further interest-rate cuts, central bank gold buying and Chinese silver export curbs as drivers.

Sri Lanka will change the VAT base on imported rough stones to deemed values of $900/kg for precious and $50/kg for semi-precious (VAT/SSCL applied to those values) to revive local gem cutting and polishing. Authorities also plan to boost mining, certification and a gold refinery.

Global stocks and futures slid after President Trump threatened additional tariffs on several European countries, stoking trade-war fears that weakened the dollar, propelled gold to record highs and pushed oil prices lower.

HUTCH’s Kahawanu Udanaya Season 3 rewarded retailers with top cash prizes of Rs.4 million, 40 gold coin redemptions and over Rs.15 million in Singer and Cargills vouchers, while 270m reward coins were reinvested into Season 4.

Colombo Stock Exchange ASPI closed 45.79 points lower at 23,608.51 (down 0.19%) after earlier reaching an intraday high, with market turnover falling to 5.2 billion rupees. Colombo Dockyard, HNB and Sampath Bank were the top negative contributors.

China's CPI rose to a 34-month high of 0.8% in December while full-year consumer prices were unchanged, even as the PPI fell 1.9% in December and 2.6% for the year, signaling weak demand. Authorities pledged continued support, including possible rate/RRR cuts and 62.5bn yuan in bond funds for a consumer trade-in scheme.

Colombo Stock Exchange ASPI rose 0.54% on Friday and 3.45% over the week, led by gains in John Keells, Commercial Bank, Vallibel One, Carson Cumberbatch and Nations Trust Bank. Market turnover fell to 8.5 billion rupees and Renuka Agri Foods and Sampath Bank recorded crossings.

Asian stocks extended a record rally as MSCI's Asia-Pacific index climbed about 0.4% to a new high, led by Japanese gains; crude eased modestly while gold and copper hovered near record levels and the dollar was steady ahead of the U.S. jobs report and Fed rate expectations.

Gold rose about 2.4% to $4,433/oz after the US capture of Venezuelan President Nicolás Maduro as investors moved into safe-haven assets; silver gained ~4.9%. Oil was little changed while energy shares rose on expectations of greater access to Venezuela’s oil reserves.

Colombo stocks rose as the ASPI gained 1.21% to 23,292.91 and the S&P SL20 hit a six-week high of 6,379.11, led by gains in HNB, Commercial Bank, John Keells, NDB, Sampath Bank and Lanka IOC.

Asian stocks climbed as investors weighed U.S. intervention in Venezuela, with MSCI's Asia-Pacific ex-Japan index up 1.2% and Brent crude around $60.87. The U.S. dollar and 10-year yield rose slightly while gold gained about 1%.