Stock market surge due to pump and dump: Harsha

By Yohan Perera 

Former State minister and economist Dr.Harsha de Silva yesterday said the recent surge in the country’s stock market is due to “pumping and dumping done by a few hands who are controlling the market.”

The main All Share Price Index (ASPI) crossed the 6, 000 market yesterday, gaining 160.66 points or 2.70 percent to reach 6,114.13 while the more liquid S&P SL20 index gained 136.99 points or 4.44 percent to close at 3, 221.07.

NDB Stockbrokers said high net worth individual and institutional investor participation was witnessed in the market while foreigners were on the selling side.

Meanwhile, de Silva said that credit rating agencies have threatened to revise down Sri Lanka’s rating due to the current political crisis prevailing in the country.
“It will be very difficult for anyone who forms a government in the county,” he told a press conference organized at the Temple Trees. 

“The rupee has depreciated to Rs.177. If the former president and MP Bandura Gunewardena were experts, the dollar would have been Rs.175 or Rs.174. But that had not happened. Therefore, it is obvious that the economy is going down,” he added.