Sri Lanka stocks close down 0.2-pct: Political uncertainty keeps investors away
Jun 09, 2015 (LBO) – Sri Lanka’s stocks closed down at 0.16 percent with investors keeping away due to the prevailing unstable political climate and losses in index heavy stocks, brokers said.
The Colombo benchmark All Share Price Index (ASPI) closed 11.55 points lower at 7,067.11 down 0.16 percent.
The S&P SL20 closed 8.48 points lower at 3,915.85 down 0.22 percent.
Turnover was at a seven week low of 328 million rupees, down from 659 million Monday.
85 stocks closedd positive against 98 negative.
“Today the market recorded the lowest turnover since 28 April 2015 with uncertainty in the political front driving investors away,” Lanka Securities said.
“Losses were seen in the index heavy stocks while 13 stocks recorded 52 week lows.”
The top contributor to turnover was Ceylon Tobacco closing at 925.00 rupees down 25.10 rupees and Nestle Lanka closing at 2,150.00 rupees, down 49.90 rupees.
Most of the banking sector stocks recorded losses as well with Sampath Bank closing at 258.90 rupees, down 0.50 rupees and DFCC closing at 207.00 rupees, down 1.00 rupee.
Commercial Bank closed at 162.10 rupees, down 0.10 rupees.
China’s favorable trade balance has beaten the expectations and would strengthen reserves.Yet drop in year on year China imports by 18% far grater than expectations & drop in Chinese exports by 11% against expeted 1.9% whilst providing answers about it’s financial health will generate important new strong ripple over effects & questions to the globe.
Political instability , corruptions and no proper action against corruptions can lead the foreign investors leave the country. On the other hand country’s rating must be improved for investable. Therefore the main issue is the corruption to be fixed and proper actions taken against those who are involved regardless of their positions.