Sri Lankan shares hit 5-mth closing high on expectations of more foreign fund inflows

COLOMBO, Jan 22 (Reuters) - Sri Lankan shares closed at their highest level in more than five months on Wednesday amid high turnover and expectations of more foreign fund inflows after an investor roadshow in Singapore earlier this week boosted sentiment. 

The main stock index jumped 0.96 percent, or 59.13 points, to 6,212.67, its highest close since Aug. 19. 

Officials from the Colombo Stock Exchange and the Securities and Exchange Commission, along with some top company officials and brokers, were in Singapore for a roadshow on Monday to attract more foreign funds. 

"The market is confident of more foreign investments into stocks from Singapore," a stockbroker said. 

"The sentiment is positive with low interest rates, and retail investors are also slowly coming into the market." 

Shares in market conglomerate John Keells Holdings gained 1 percent at 249.50 rupees. 

The market has gained 4.5 percent in the last 10 sessions, which analysts attributed to the central bank's interest rate cut on Jan. 2 and the recent fall in T-bill yields. 

Yields in T-bills were almost flat at a weekly auction on Wednesday at their more than two-year low. 

The index has been in an overbought region since Jan. 7, Thomson Reuters data showed. 

It has risen 5.07 percent so far this year following a 4.8 percent gain in 2013 after having fallen in the previous two years. 

The day's turnover was 1.4 billion rupees ($10.70 million), more than last year's daily average of about 828.4 million rupees. 

Foreign investors were net buyers of 290.7 million rupees worth of shares, extending the year-to-date net inflow to 974.7 million rupees. 

They had bought 22.88 billion rupees of stocks last year. 

($1 = 130.8000 Sri Lanka rupees) 

(Reporting by Shihar Aneez; Editing by Subhranshu Sahu)

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Sri Lanka stocks close up 0.9-pct

Jan 22, 2014 (LBO) – Sri Lanka stocks close up 0.96 percent reversing Tuesday’s losses with tobacco and diversified stocks gaining amid net foreign buying, brokers said.

The Colombo benchmark All Share Price Index closed 59.13 points higher at 6,212.67, up 0.96 percent. The S&P SL20 closed 30.10 points higher at 3,458.26, up 0.88 percent.

Turnover was 1.39 billion rupees, up from 414.14 million rupees a day earlier, with stocks of 60 firms closing in the red against 140 gainers.

JKH topped the turnover list with market transactions of 240.77 million rupees contributing to 17 percent of the total turnover today.

Chevron Lubricants ended 10.40 rupees higher at 294.40 rupees with an off market transaction of 126.68 million rupees contributing to 9 percent of the turnover.

The Finance Company closed 60 cents higher at 14.30 rupees and S M B Leasing closed 30 cents higher at 1.30 rupees, attracting most number of trades during the session.

Foreigners bought 597 million rupees worth shares while selling 307 million rupees of shares.

Ceylon Tobacco Company closed 24.00 rupees higher at 1,226.00 rupees and JKH closed 2.50 rupees higher at 249.50 rupees, contributing most to the index gain.

JKH’s W0022 warrants closed 4.20 rupees higher at 84.30 rupees and its W0023 warrants closed 4.70 rupees higher at 89.90 rupees.

Commercial Bank closed 1.30 rupees higher at 128.50 rupees and Nation Lanka Finance closed 40 cents higher at 8.70 rupees.

Cargills Ceylon closed 10 cents lower at 145.00 rupees amid its banking venture Cargills Bank Limited getting the license for commercial banking operations from Tuesday.

Nestle Lanka ended 5.50 rupees higher at 2,130.50 rupees and Distilleries closed 3.40 rupees higher at 203.40 rupees.

Carson Cumberbatch ended 9.10 rupees lower at 359.00 rupees and Bukit Darah closed 2.70 rupees lower at 612.30 rupees.

People’s Leasing and Finance ended 70 cents higher at 15.00 rupees.
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Cargills Bank Limited has been granted License by Central Bank of Sri Lanka

Cargills (Ceylon) PLC Disclosure:

As per disclosure requirements of CSE, Cargills (Ceylon) PLC wishes to announce that 'Cargills Bank Limited' has been granted the Licence for Commercial Banking Operations by the Central Bank of Sri Lanka with effect from January 2014.
http://www.cse.lk/cmt/upload_cse_announcements/2491390375688_.pdf