Bourse falls on profit-taking; Rupee weakens

Reuters : Sri Lankan shares slipped further on Tuesday from last week’s 1-1/2 year high as retail investors sold some shares, while the rupee currency weakened on demand for dollars from importers.

The main stock index .CSE fell 0.52 percent, or 32.44 points, to 6,206.59, its second day of losses after hitting a peak on Friday.

“The bourse came off on profit-taking in retail-dominated mid-cap shares,” a stockbroker said on condition of anonymity.

Sri Lanka...

Sri Lankan markets have shown little reaction to Friday’s 50 basis point cut in the central bank’s key policy rate, which had been expected since Treasury Secretary P.B. Jayasundera said on April 9 that interest rates could ease in May or June. (Full Story) (Full Story)

Market turnover was 636.18 million rupees ($5.04 million) on Tuesday, below this year’s daily average of 1.02 billion rupees. Foreign investors bought a net 154.3 million rupees of shares, extending net foreign inflows this year to 9.91 billion rupees.

The rupee LKR= fell to 126.50/55 from Monday’s close of 126.25/30 as importers bought dollars, currency dealers said.