Stocks end at 11-week low; investors uncertain

Reuters: Shares ended lower on Wednesday led by blue-chip shares such as John Keells Holdings Plc while cautious investors awaited some direction from the budget.

The main stock index closed down 0.49% at 7,050.87, its lowest close since 15 July.

Foreign investors were net sellers of Rs. 87.4 million worth of shares on Wednesday extending the year-to-date net foreign outflow to Rs. 3.16 billion.

“Budget is the holding factor as investors are looking for clear direction,” said Reshan Kurukulasuriya, Chief Operating Officer of Richard Pieris Securities Ltd.

The new Government, which was elected after the 17 August polls, will present its maiden Budget in November.

Shares of conglomerate John Keells fell 1.74% while Nestle Lanka Plc fell 0.06%. Shares in biggest listed banker Commercial Bank of Ceylon fell 1.79%.

Turnover was Rs. 1.29 billion ($ 9.14 million), slightly above this year’s daily average of 1.12 billion.