Saturday, 11 April 2015 01:46
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Shares closed nearly unchanged on Friday as investors stayed away ahead of a holiday-shortened week, with net buying by foreign investors boosting turnover, dealers said.
The key Sri Lankan index ended up 0.03%, or 1.77 points higher, at 6,901.06 on Friday, hovering near its lowest close since March 31 hit on Thursday. “Most of the investors stayed away due to political uncertainty and ahead of the holidays,” said Reshan Wediwardana, research analyst at First Capital Equities Ltd.
He said buying by foreign investors in Dialog Axiata Plc boosted turnover, but the stock closed steady on Friday.
Foreign investors were net buyers of Rs. 236.4 million ($1.78 million) worth of shares on Friday, extending the net foreign inflow so far this year to 3.62 billion rupees.
The day’s turnover was Rs. 605.3 million ($4.55 million), roughly half of this year’s daily average of Rs. 1.11 billion.
The market will be closed on 13 April and 14 April for the traditional Sinhala-Tamil New Year holiday.
The index had lost 6.6% last month, its biggest monthly drop since October 2012, as investors sold their holdings to settle margin trades amid concerns about political stability and a rise in interest rates.
The increased borrowing has put pressure on government finances and pushed up yields on treasury bills by between 82 and 99 basis points (bps) since 7 January.
