Shares hit more than 8-month closing low; turnover slumps

REUTERS: Sri Lankan shares closed at their weakest in more than eight months in typical year-end holiday-thinned trading yesterday, with turnover slumping to a near 33-month low as investors stayed away.

The Colombo stock index ended 0.22 percent lower at 6,202.83, its lowest close since April 6. It has shed around 2.1 percent in the 10 sessions through yesterday. Turnover stood near its lowest since March 17, 2014, at Rs.111.2 million around a seventh of this year’s daily average of Rs.735.4 million.
“Most of the investors and brokers are on holiday. We may see little price adjustments in shares, but the trading volume will be very low,” said Hussain Gani, deputy CEO at Softlogic Stockbrokers.
Foreign investors sold a net Rs.10.2 million worth shares yesterday, but they have been net buyers of Rs.611.3 million worth equities as of yesterday this year.

Top conglomerate John Keells Holdings fell 1 percent, while large cap Ceylon Tobacco Company closed 1.8 percent lower, dragging down the overall index.