Sri Lanka shares extend losses

Oct 08, 2008 (LBO) – Sri Lankan share prices ended 3.0 percent lower Wendesday a day after stock fell 2.0 percent amidst unprecedented unraveling of the global financial system, in a day where Asian and Middle Eastern markets plunged.

The All Share Price Index fell 64 points to 2,042.13 while the more liquid Milanka plunged 83 points to 2,259.40.

Turnover was 216 million rupees.

Brokers said most large cap stocks fell, dragging down the indices.

Dialog Telekom sank one rupee to close at 6.75 rupees, an all-time low.

Brokers said investors were worried about growing competition in the telecom sector which has eroded Dialog’s market share and profitability.

Other stocks that fell included Ceylon Tobacco Company, Richard Pieris and Ceylinco Insurance.

Also, sharp falls in global markets made investors jittery as a global economic slowdown could affect the profitability of companies. Indonesia halted trading after stocks fell more than 10 percent, while Asia Pacific markets closed lower.

To receive instant alerts from LBO on your Dialog mobile type ‘lbo’ and send to 678