Sri Lankan stocks jumped more than 1.6 percent to a two-month high yesterday with foreign investors net buyers for a 23rd straight day as financials led the field.
The Colombo Stock Exchange’s main index rose 82.27 points to 5,027.40, its highest level since June 22.
Foreign investors bought a net Rs.192.5 million ($1.46 million) worth of shares, extending the net foreign inflow this year to Rs.28.26 billion. They have bought a net Rs.4.74 billion worth of stocks in the last 23 sessions.
Bartleet Religare Securities said there were many traders waiting to unload once the market hits around 5,500.
“Until then, I see this market building momentum,” a broker said.
The market has fallen 17.24 percent so far this year. Analysts said the resignation of the head of the Securities and Exchange Commission, Tilak Karunaratne, still weighed on sentiment.
Turnover was Rs.782.9 million, less than this year’s daily average of Rs.862.4 million.
The rupee ended weaker at 132.28/35 against the dollar from Tuesday’s close of 132.27/30 on importer dollar demand in light trade.