26 July 2019 12:01 am
(Colombo) REUTERS: Sri Lankan shares rose for a third straight session yesterday to hit their highest close in nearly five months, led by a rally in banks, but the rupee weakened on higher importer dollar demand. Foreign investors were net sellers of stocks.
The country’s benchmark stock index ended 0.85 percent up at 5,794.66, its highest close since February 28. The index is down about 4.26 percent so far this year. The country’s stock market had a turnover of Rs.743.6 million, more than this year’s daily average of about Rs.611.1 million so far.
Last year’s daily average came in at Rs.834 million.
Foreign investors sold a net Rs.84.6 million worth of shares yesterday; the year-to-date net buying stood at Rs.1.39 billion, index data showed.
Shares of country’s biggest listed lender Commercial Bank of Ceylon jumped 4.9 percent, Hatton National Bank PLC rose 5.2 percent, DFCC Bank PLC climbed 7.5 percent and Dialog Axiata PLC ended 0.9 percent firmer. Meanwhile, the currency ended 0.03 percent weaker at 176.15/25 per dollar, compared with Wednesday’s close of 176.10/25, as importer demand for the greenback outpaced the dollar selling by banks.
The rupee is up 3.66 percent so far this year.
The Central Bank left key interest rates unchanged on July 11 as expected, after cutting them in May to support the economy as tourism and investment plummeted in the wake of deadly suicide bombings in April.
Foreign investors bought a net Rs.1.22 billion worth of government securities in the week ended July 17 but the market has seen a year-to-date net foreign outflow to Rs.18.46 billion, the Central Bank data showed.