Sri Lanka stocks close up 0.2-pct

Aug 29, 2012 (LBO) – Sri Lanka’s stocks closed up 0.2 percent Wednesday in a late rally after running out of steam amid profit taking earlier in the day, brokers said. Free Lanka was next closing at 2.30 rupees with 12.7 million rupees.

Index heavy Sri Lanka Telecom extended gains closing up 1.60 rupees at 40.90 and John Keells Holdings fell 40 cents to close at 198.00 rupees.

Commercial Bank closed up 80 cents at 104.00 rupees, DFCC Bank closed up 1.80 rupees at 118.90 and Dipped Products closed up 60 cents at 88.50 rupees. The Colombo All Share Index closed at 5,114.15 points up 11.50 points and the S&P SL20 rose 0.33 percent to close at 2,866.13 points up 9.38 points.

Sri Lanka’s benchmark index has gained since Tilak Karunaratne, a tough regulator who was probing securities fraud was ousted.

Some investors and brokers have blamed regulatory action for a market fall, while other analysts say a stock market bubble was created in 2010 due to loose monetary policy and margin credit which is correcting after monetary policy tightened.

Turnover was 444 million rupees.

Top turnover for the day came from Environmental Resources (32.8 million rupee turnover) which closed up 50 cents at 16.00 rupees, followed by Colombo Land which closed up 50 cents at 37.90 rupees (32.3 million rupees) and Citrus Kalpitiya which closed up 30 cents at 6.40 rupees (18.3 million rupees).

Citrus Leisure closed 20 cents down at 30.60 rupees with 16.5 million rupees of turnover, Vallibel One closed down 50 cents at 15.00 rupees with 16.5 million rupees of turnover, Lanka Hospitals closed down 10 cents at 37.90 rupees with 14.8 rupees after gaining strongly over the week.

Panasian Power was falt at 2.70 rupees with 14.6 million rupees in turnover, HVA Food also flat at 13.80 rupees with 14.4 million rupees of turnover and Environmental Resource closed at 5.20 flat with 13.0 million rupees.