Bourse slips in light trade

Saturday, 27 October 2012 00:00 - - {{hitsCtrl.values.hits}}

Reuters: Stocks dipped on Friday in thin trade as foreign investors sold shares and retail investors also sold amid margin calls, while the rupee ended flat as dollar inflows from remittances offset importer demand, dealers said.

The Colombo Stock Exchange’s main index fell 0.46 per cent or 25.84 points to end at 5,550.88.

“Some margin calls and foreign selling brought down the index,” said a stockbroker, who declined to be identified.

Analysts said investors were waiting for an indication of the market’s direction from the annual Budget, scheduled for 8 November, and a raft of quarterly earnings due out from next week.

Turnover was Rs. 314.7 million ($ 2.42 million), a third of this year’s daily average of Rs. 928 million.

Foreigners were net sellers for the first time since 12 October, selling Rs. 129 million worth shares. They have been net buyers to the tune of Rs. 33.7 billion this year.

The rupee ended flat at 129.75/95 to the dollar as inflows of remittance offset importer demand for dollars, dealers said.