Sri lanka News – Sri Lanka stocks slipped on Tuesdayafter gaining for three straight sessions on profit-taking in retail shares, dealers said.
The main All Share Price Index (ASPI) fell 0.18% or 16.06 points to 9,071.53, on Tuesday.
“We saw retail favourites have a bit of volatility in the market. It was down a couple of sessions ago and then it recovered and again we are seeing selling,” a market analyst said.
“What we are seeing is selling pressure coming on and off in these counters especially because of the high prices these shares were traded at.”
The energy and plantation sector is gaining pace again, he said.
The market generated 4.9 billion rupees in turnover, close to double this years average daily turnover of 3.13 billion rupees.
It is also the highest turnover generated in a week.
Sri Lanka has already declared sovereign debt default on April 12 this year and failed to pay its first sovereign debt in May amid a deepening economic crisis which later turned into a political crisis and led to a change in the president, cabinet, and government.
The more liquid S&P SL20 index ended 0.60% or 17.92 points down at 2,989.78
Sri Lanka is facing its worst fuel and economic crisis in its post-independence era and the economy is expected to contract more than 8 percent this year.
The main ASPI gained 17.5 percent in August so far after gaining 5.3 percent in July. It lost 9.3 percent in June, 23 percent in April, and 14.5 percent in March.
The market index has lost 25.8 percent so far this year after being one of the world’s best stock markets with an 80 percent return last year when large volumes of money were printed.
Net foreign inflow was 16 million rupees on Tuesdau, but the total net foreign outflow so far this year is 968 billion rupees.
Investors are also concerned over the steep fall of the rupee from 203 to 370 levels so far in 2022.
LOLC Holdings pushed the index down, closing 2.35 percent Weaker at 603.7 rupees a share.
John Keells closed 1.57 percent down at 125 rupees a share, and Sri Lanka Telecom fell 11.51 percent to 52.3 rupees. (Colombo/Aug23/2022)