CSE rebounds to 3-week high on foreign buying

Reuters: Shares climbed to their highest close in nearly three weeks on Tuesday, with foreign trading accounting for about 40% of the session’s turnover.

The Colombo stock index ended 0.8% firmer at 6,179.88, its highest close since 29 June.

“Heavyweights helped the market recover sharply today. We have seen value picking,” said Hussain Gani, deputy CEO, Softlogic Stockbrokers.

“The foreign trade helped the sentiment to improve.”

Turnover stood at Rs. 454.9 million ($ 2.9 million), around half of this year’s daily average of Rs. 892.3 million. Foreign investors bought equities net worth Rs. 7.2 million on Tuesday. But they have been net sellers of Rs. 2.6 billion worth equities so far this year.

Shares in conglomerate John Keells Holdings Plc rose 3%, while Distillers Company of Sri Lanka Plc ended 0.5% higher. Dialog Axiata Plc closed 2.1% firmer and Sri Lanka Telecom Plc gained 2.9%.