Stock market ends steady; foreign buying seen

Reuters: Shares ended little changed in thin trade on Friday, as gains in financials and telecom shares were offset by losses in beverage stocks, even as foreign investors continued to be net buyers.

The Colombo stock index ended almost unchanged at 6,666.05. On Tuesday, the index recorded its lowest close since 13 June.

Shares of large cap Ceylon Tobacco Company Plc fell 0.1%, while Hatton National Bank Plc rose 1.4%.

Turnover stood at Rs. 625.8 million ($4.07 million), around two-thirds this year’s daily average of around Rs. 896 million.

“The market is looking for positives and the negativity is fading away,” said Reshan Kurukulasuriya, Chief Operating Officer of Richard Pieris Securities Ltd.

Foreign investors bought net bought shares worth Rs. 402.6 million on Friday, extending the year-to-date net foreign inflow to Rs. 25.7 billion.

Stockbrokers said market sentiment has improved after the Government approved a key port deal.

Sri Lanka will finally sign a $1.1 billion deal on Saturday to lease the southern Hambantota port to China, after several months of delay caused by local protests and claims by opposing politicians that this would threaten national security.