May 12 Sri Lankan shares touched a more than 10-week high on Tuesday led by large caps and banks on hopes of better corporate earnings, while foreign investors exited from risky assets for a seventh straight session amid political uncertainty.
The main stock index closed 0.62 percent higher at 7,258.61, its highest since Feb.27. It has gained 5.2 percent since the central bank cut key rates on April 15, while yields on t-bills have fallen 44-57 basis points since then.
Earnings of 24 listed companies released so far have on average increased 12.4 percent year-on-year in the first quarter, a stockbroker said.
Net foreign outflow from equities stood at 183.7 million rupees ($1.38 million) on Tuesday, extending net outflows to 937.6 million rupees during the past seven straight sessions. Foreign investors, however, have bought a net 2.87 billion rupees worth of shares so far this year.
Turnover stood at 1.08 billion rupees, just above this year's daily average of around 1.06 billion rupees.
Investors are waiting for direction on the political front and cues from earnings, analysts said, adding the market could be dull in the medium term until the perception of political uncertainty is addressed.
Sri Lanka's parliament is expected to debate and pass some key reforms next week and President Maithripala Sirisena has promised to dissolve parliament after that.
Shares of Distilleries Company of Sri Lanka Plc ended 5.36 percent firmer, while Lanka ORIX Leasing Company Plc jumped 7.54 percent.
($1 = 133.5000 Sri Lankan rupees)
The main stock index closed 0.62 percent higher at 7,258.61, its highest since Feb.27. It has gained 5.2 percent since the central bank cut key rates on April 15, while yields on t-bills have fallen 44-57 basis points since then.
Earnings of 24 listed companies released so far have on average increased 12.4 percent year-on-year in the first quarter, a stockbroker said.
Net foreign outflow from equities stood at 183.7 million rupees ($1.38 million) on Tuesday, extending net outflows to 937.6 million rupees during the past seven straight sessions. Foreign investors, however, have bought a net 2.87 billion rupees worth of shares so far this year.
Turnover stood at 1.08 billion rupees, just above this year's daily average of around 1.06 billion rupees.
Investors are waiting for direction on the political front and cues from earnings, analysts said, adding the market could be dull in the medium term until the perception of political uncertainty is addressed.
Sri Lanka's parliament is expected to debate and pass some key reforms next week and President Maithripala Sirisena has promised to dissolve parliament after that.
Shares of Distilleries Company of Sri Lanka Plc ended 5.36 percent firmer, while Lanka ORIX Leasing Company Plc jumped 7.54 percent.
($1 = 133.5000 Sri Lankan rupees)
(Reporting by Shihar Aneez and Ranga Sirilal; Editing by Biju Dwarakanath)
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