Bourse dips on large caps; foreigner selling

Wednesday, 18 September 2013 00:33 -     - {{hitsCtrl.values.hits}}

REUTERS: Sri Lankan stocks slipped for a second straight session on Tuesday, pulled down by large caps as foreign investors sold shares after the central bank held key monetary policy rates steady earlier in the day. Foreign investors were net sellers of Rs. 671.7 million ($ 5.08 million) worth of shares on Tuesday, the highest since 30 January. Foreigners have been net buyers of Rs. 18.63 billion worth of shares so far this year. Before the market opened, the Central Bank kept key policy rates unchanged and said the country has the potential to achieve its targeted 7.5 economic growth this year. The main share index edged down 0.43%, or 24.86 points, to close at 5,705.26, its lowest close since 10 September. It touched a near two-week high on Friday. Brokers said the market has been concerned about the interest rate outlook after an expensive borrowing by state-owned National Savings Bank. Shares in large caps dropped, with Carsons Cumberbatch PLC falling 5.25% and Cargills (Ceylon) PLC ending down 7.41%. Tuesday’s turnover was Rs. 913 million, more than this year’s daily average of about Rs. 883 million.