The Colombo Stock Market (CSE) has become the Asia’s best Stock Market in 2010 with a surge of 96 percent while Indonesia that rose a 46.1 per cent becoming a distant second, the Economic Times reported.
The CSE’s main share index rose 21.74 points to 6,635.87. It has fallen 7.9 per cent since it hit an all-time high of 7,207.75 on Oct. 4 on year-end settlements, profit taking, and liquidity shortage.
“We will not see a similar surge next year, but we will see high activities with over 60 firms in line for listing,” said Danushka Samarasinghe, director at TKS Securities . “We expect 60 per cent rise with better earnings in 2011.”
The year saw a net foreign outflow of 26.4 billion rupees from the bourse, more than twice of last year's net selling of 11.4 billion rupees. On Friday, offshore investors sold a net 15.9 million rupees. The daily average turnover for 2010 was at a record 2.4 billion rupees, more than four times higher than the previous all-time high of last year's 593.6 million rupees. Friday's turnover was 1.3 billion rupees ($11.8 million).
Sri Lanka’s rupee ended flat at 110.94/96 a dollar in sluggish trade, currency dealers said. It has risen 3.06 per cent so far this year.
Remember end of 2008 foreign investors cash out $600 M in govt. securities and the defence of the rupee against depreciation cost the CB 50% of its foreign reserves. What if there is a double dip recession in the West?
Viraj Sunday, 02 January 2011 07:47 AM
Yes. For the baseless doubters.
Viraj Sunday, 02 January 2011 07:42 AM
If the intended objective is the "economic growth", give me one good reason why a central bank should not reduce the rates.
Secondly, if you think the increase in the stock market is not supported by the fundamentals Please check the market P/E.
You really need to get your basics right.
Viraj Sunday, 02 January 2011 07:41 AM
Dude, Las Vegas is in Nevada, USA. Asia's biggest casino is in Macau.
eresh S kumara Sunday, 02 January 2011 07:28 AM
As usual * welldone CSE
citizen1 Saturday, 01 January 2011 05:58 PM
R.P Perera Saturday, 01 January 2011 04:26 PM
What does it mean? The increase in Index is due to an asset bubble created by the Central Banks policy of repressing interest rates and creating money. Those who get the money have nowhere to invest except in the stock market. It has nothing to do with the performance of the economy with 7% growth. If credit is restricted to investors the market will go in the reverse direction.
pd Saturday, 01 January 2011 06:47 AM
good news for Srilankans at da start of a new year! may SL go on to be the miracle of asia!
mani Saturday, 01 January 2011 03:39 PM
simple. FII raise the prise , retail investor enter market for big fortune (greed) and at peak FII make a huge sell off. leads to panic selling ( fear) and lose to retail investor. again FII raise the prise by buying at bottom and for another cycle.
Rajitha Saturday, 01 January 2011 09:46 AM
well done GoSL. we indeed are headed towards the miracle of asia.
Hamzie - Qatar Saturday, 01 January 2011 09:05 AM
Give credit where its due. Its not GOSL says CSE is the best stock market in the Asia, it is the Economics Times. Mind you this achievement was done when the entire world is on economic recession.
Investor confidence has boosted after the war, though the war crime charges aginst SL still hanging around.
Mohamed Zahid Saturday, 01 January 2011 08:31 AM
Yes, we must capitalize on this. surely, our Emerald Island have plenty of potentials. we all should be together. then only we can pluck the rewards.
Leslie Saturday, 01 January 2011 08:26 AM
Good News for investors at dawn of New Year 2011. Hope CSE does not interfere too much and mess matters up!
Mahadana mutta Saturday, 01 January 2011 07:56 AM
tnx to the EPF!
bigsam Saturday, 01 January 2011 07:47 AM
I don't understand the stock market rise and the huge foreign outflow at the same time. Can someone please explain?
Ombudsman Saturday, 01 January 2011 07:15 AM
Congratulations CSE. Hope, things will get even better in New Year 2011.By the way, I Wish all; a Happy & Prosperous New Year 2011.
Mervin Saturday, 01 January 2011 07:13 AM
After Las Vegas best casino in Asia!!!!!
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