Shares end lower on profit-taking; investors pick diversified stocks

REUTERS: Sri Lankan shares ended lower yesterday, slipping from a nine-week closing high hit in the previous session, as investors booked profits in banking and diversified stocks, but continued foreign buying helped boost sentiment, brokers said. The Colombo stock index ended 0.2 percent weaker at 6,515.84, edging down from its highest close since August 4 hit on Friday. The bourse rose 1.4 percent last week, recording its fourth straight weekly gain.

Foreign investors bought a net Rs.225.2 million worth of equities yesterday extending the year-to-date net foreign inflow to Rs.20.1 billion worth of shares.

Turnover stood at Rs.1 billion, more than this year’s daily average of Rs.923.9 million.
“Market is very positive with continued foreign buying, though the index ended negative,” said First Capital Holdings Head of Research Dimantha Mathew.
“The index came down mainly because of the profit-taking in Commercial Bank shares,” he added.

Shares of biggest listed lender Commercial Bank of Ceylon PLC ended 1.2 percent down, while conglomerate John Keells Holdings PLC closed 0.3 percent lower and Commercial Leasing and Finance PLC finished 3.3 percent down.