Shares gain; IMF may consider loan review request

REUTERS:  Sri Lankan shares ended firmer yesterday, helped by foreign buying in blue chips, after the International Monetary Fund said it may consider the country’s request for a second loan review.
The Colombo stock index ended 0.59 percent stronger at 6,602.44, near its one-year closing high hit on Friday, boosted by foreign buying in heavyweights such as John Keells , up 2.1 percent, and Ceylon Tobacco Company, up 1.2 percent.
“With the renewed foreign interest, we can see retail investors are slowly returning to the market. Fundamentally sound stocks moved the market today,” said Atchuthan Srirangan, a senior research analyst at First Capital Holdings PLC.

“The positive IMF news also helped boost the market sentiment.”
Analysts said the market will continue to be bullish with mild profit-taking.
Turnover stood at Rs.1.08 billion (US$7.09 million), more than this year’s daily average of Rs.901 million.
Foreign investors net bought shares worth Rs.62.2 million, extending their year-to-date investment in equities to Rs.16.52 billion.
They bought a net Rs.14 billion worth of equities in the last 29 sessions.