Shares hit 2-wk closing high

The Colombo Stock index ended 0.12 percent firmer at 6,456.04, its highest close since Jan. 12. The index rose 0.19 percent on week, its first weekly gain in three. 

Shares in Hemas Holdings Plc were up 0.5 percent, while Dialog Axiata Plc ended 1.5 percent higher, and Sri Lanka Telecom Plc gained 2.5 percent. 

“Things were very slow, even the foreign activity was very low today,” said Dimantha Mathew, head of research at First Capital Holdings. 

“Activities have been coming down from the last few days. Probably towards elections it will slow down further as investors are on a wait-and-see attitude.”  Turnover was Rs.264.1 million (US$1.72 million), its lowest since Jan. 2 and well below last year’s daily average of Rs.915.3 million. 

Foreign investors bought a net Rs.21.2 million worth of shares yesterday, extending the year-to-date net foreign inflow to Rs.4.02 billion worth equities. 

Sri Lanka will hold a long-delayed local government election on Feb. 10. 

President Maithripala Sirisena said over the weekend that he would handle the economy, taking over from the government’s main coalition partner, led by Prime Minister Ranil Wickremesinghe.  The comments have sparked uncertainty over the future of the coalition government, analysts said.