Bourse ends steady; rupee edges up

Saturday, 8 December 2012 00:00 - - {{hitsCtrl.values.hits}}

Reuters: Stocks ended steady on Friday at a two-week high led by banks, but concerns over high interest rates trimmed the day’s turnover, while the rupee currency edged up on dollar inflows from remittances.

The Colombo Stock Exchange’s main index closed virtually unchanged, up 0.07 points at 5,387.40, its highest close since 26 November.

The day’s turnover was Rs. 263.98 million ($ 2.05 million), well below of this year’s daily average of Rs. 895.5 million.

Foreign investors were net sellers of Rs. 11 million worth of shares, but the net foreign inflow so far this year has been Rs. 36.41 billion.

The Central Bank on Wednesday rejected all bids for 91-day T-bills at a weekly auction, which analysts saw as a move to hold down interest rates, though yields for 364-day T-bills rose for an eighth straight week.

The rupee closed firmer at 128.50/60 to the dollar compared with Thursday’s close of 128.75/85 on receipt of remittances amid thin importer dollar demand, dealers said.