CSE, rupee extend losses

Tuesday, 6 August 2019 01:15 - - {{hitsCtrl.values.hits}}

REUTERS: Sri Lankan shares fell for the fifth straight session on Monday and closed at their lowest in more than one week, as investors sold banking and telecom stocks, while the rupee ended weaker due to importer dollar demand.

The country’s benchmark stock index ended 0.09% down at 5,889.67, its lowest close since 26 July. The bourse gained 0.37% last week, recoding its sixth straight weekly gain.

So far this year, the index is down about 2.7%.

Turnover was Rs. 534.3 million ($3.02 million), less than this year’s daily average of about Rs. 640.4 million so far. Last year’s daily average came in at Rs. 834 million.

Foreign investors bought a net Rs. 60.9 million worth of shares on Monday, extending the year-to-date net foreign buying to Rs. 574.8 million worth of equities, according to index data.

Shares of Sampath Bank PLC declined 2%, Hemas Holdings PLC fell 2.4%, Dialog Axiata PLC closed down 0.9% and Sri Lanka Telecom PLC ended 1.8% weaker.

The rupee slipped for a sixth straight session and ended at 176.95/177.05 per dollar, compared with Friday’s close of 176.60/70.

The rupee fell 0.25% last week, but is up 3.2% so far this year.

The Central Bank left key interest rates unchanged on 11 July as expected, after cutting them in May to support the economy as tourism and investment plummeted in the wake of deadly suicide bombings in April.

Foreign investors sold a net Rs. 5.11 billion worth of government securities in the week ended 31 July, extending the year-to-date net foreign outflow to Rs. 27.31 billion, Central Bank data showed.