May 11 Sri Lankan shares ended steady near 10-week high on Monday in thin trade as investors awaited direction on the political front and cues from earnings while foreign investors exited from risky assets for a sixth straight session, stockbrokers said.
The main stock index ended 0.02 percent up at 7,213.63, at its highest close since March 3. It has gained 4.53 percent since the central bank cut key rates on April 15, while yields on t-bills have fallen 44-57 basis points since then.
"Investors have been waiting for a bit, most investors are on a wait and see approach until the earnings come," said Dimantha Mathew, research manager at First Capital Equities (Pvt) Ltd.
Net foreign outflow from equities was 12.9 million rupees ($96,699) on Monday, extending net outflows of 753.9 million rupees for the past six sessions. Foreign investors, however, have bought a net 3.1 billion rupees worth of shares so far this year.
Turnover stood at 586.7 million rupees ($4.4 million), around half of this year's daily average of around 1.06 billion rupees.
Analysts said the market could be dull until the perception of political uncertainty is addressed, with many investors in a wait-and-watch mode before the parliamentary elections.
Sri Lanka's parliament passed reforms on April 28 to reduce some of the president's powers, although they were far fewer than President Maithripala Sirisena had promised.
Shares of Distillers company of Sri Lanka Plc ended 3.08 percent firmer, while Ceylon Cold Stores Plc jumped 3.94 percent.
The main stock index ended 0.02 percent up at 7,213.63, at its highest close since March 3. It has gained 4.53 percent since the central bank cut key rates on April 15, while yields on t-bills have fallen 44-57 basis points since then.
"Investors have been waiting for a bit, most investors are on a wait and see approach until the earnings come," said Dimantha Mathew, research manager at First Capital Equities (Pvt) Ltd.
Net foreign outflow from equities was 12.9 million rupees ($96,699) on Monday, extending net outflows of 753.9 million rupees for the past six sessions. Foreign investors, however, have bought a net 3.1 billion rupees worth of shares so far this year.
Turnover stood at 586.7 million rupees ($4.4 million), around half of this year's daily average of around 1.06 billion rupees.
Analysts said the market could be dull until the perception of political uncertainty is addressed, with many investors in a wait-and-watch mode before the parliamentary elections.
Sri Lanka's parliament passed reforms on April 28 to reduce some of the president's powers, although they were far fewer than President Maithripala Sirisena had promised.
Shares of Distillers company of Sri Lanka Plc ended 3.08 percent firmer, while Ceylon Cold Stores Plc jumped 3.94 percent.
($1 = 133.3000 Sri Lankan rupees)
(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Anand Basu)
No comments:
Post a Comment