Bourse snaps 4-session losing streak

Reuters: Stocks edged up on Wednesday, reversing a four-session losing streak, led by blue chips but volume was thin as investors awaited a key Government policy statement.

The main stock index ended 0.05% higher at 7,003.57, edging up from its lowest close since 13 July hit in the previous session.

The day’s turnover was Rs. 547.9 million ($3.88 million), around half of this year’s daily average of Rs. 1.1 billion.

Prime Minister Ranil Wickremesinghe is expected to announce the country’s medium-term economic policy framework today (5), outlining the Government’s economic priorities ahead of the 2016 Budget scheduled for 20 November. “Investor confidence is not that great. Everybody is waiting for the Prime Minister’s statement tomorrow,” said Dimantha Mathew, a research manager at First Capital Equities Ltd.

Analysts said investors are also waiting for the Budget scheduled for 20 November.

Shares in Dialog Axiata Plc rose 2.70% while conglomerate John Keells Holdings Plc gained 1.07%. However, foreign investors were net sellers of Rs. 63.9 million worth of shares on Wednesday, extending the year-to-date net outflow to Rs. 3.73 billion worth of equities.