Shares rise, hover near 2-month closing high

REUTERS: Sri Lankan shares rose yesterday, hovering near their two-month closing high hit on Friday, as expectations of strong corporate earnings and political stability after the parliamentary polls next month lifted investor sentiment.

The main stock index ended firmer 0.19 percent, or 13.84 points, at 7,261.07. On Friday, it had closed at its highest since May 25.

Gains were led by large caps such as John Keells Holdings Plc amid block deals. JohnKeells rose 0.67 percent, Ceylon Tobacco Company Plc 1.72 percent and Distilleries Company of Sri Lanka Plc gained 0.35 percent.

Turnover was Rs.1.1 billion ($8.23 million), just above this year’s daily average of Rs.1.07 billion.

Foreign investors were net sellers of Rs.212.8 million worth of shares, extending the net foreign outflow so far this year to Rs.549.3 million.

Analysts expect local companies to post strong results for the April-June quarter.