Bourse dips to one-week low as blue chips decline

Tuesday, 26 September 2017 00:00 - - {{hitsCtrl.values.hits}}

Reuters: Stocks fell for a third straight session on Monday to a one-week closing low as investors sold shares in market heavyweights ahead of the central bank’s policy rate decision.

Sri Lanka’s central bank is expected to keep its key interest rates steady on Tuesday, a Reuters poll showed, to support a stuttering economy even as inflation accelerates amid strong credit growth.

The Colombo stock index ended 0.24% weaker at 6,412.07, its lowest close since 18 September.

Shares of Nestle Lanka Plc fell 0.9%, while conglomerate John Keells Holdings Plc ended 0.6% weaker, and Browns Investments Plc dropped 3.1%.

“Most of the investors are on the sidelines awaiting the policy rates decision,” said Hussain Gani, deputy CEO of Softlogic Stockbrokers.

Turnover stood at Rs. 793.9 million ($ 5.19 million), compared with this year’s daily average of about Rs. 919 million. Foreign investors who bought a net Rs. 17.7 billion worth of equities so far this year turned net sellers for the first time in six sessions. They sold Rs. 59.2 million worth of shares on Monday.