Bourse at 1-week low on interest rate concerns

28 Mar 2013 - {{hitsCtrl.values.hits}}

Stocks ended tad weaker yesterday to hit a one-week low despite foreign inflows, as investors were worried over upward pressure on interest rates after yields in Treasury bills rose for a fourth straight week.

The main index ended 0.01 percent or 0.56 points weaker at 5,744.99, its lowest level since March 20.

“Worries about high interest rates kept local buyers away from the market,” said a stockbroker on condition of anonymity.

Yields in T-bills rose for the fourth straight week at Monday's auction even though the Central Bank had kept its key policy rates unchanged for a third month in a row.

Foreign investors were net buyers of Rs.408.2 million ($3.22 million) worth of shares, extending the year-to-date net foreign inflow to Rs.4.95 billion worth of shares.

Turnover was Rs.938 million, less than this year's daily average of Rs.992 million.

Stockbrokers said the market was concerned over a U.N. resolution passed last week that urged Sri Lanka to carry out credible investigations into killings and disappearances during its nearly 30-year civil war, in case non-compliance should lead to some form of sanctions.

The rupee fell to 126.85/90 to the dollar, easing from Monday's close of 126.73/75, on light importer demand for dollars in dull trade, dealers said.Both the stock and money markets were closed for a holiday on Tuesday.

(REUTERS)

Stock

Bourse at 1-week low on interest rate concerns

Most Popular Articles

Niloufer Esufally-Anverally Makes a Stylish Comeback with the Launch of NLFR

Third review approved by IMF, SL to get next US$ 333 million tranche

Global Entrepreneurship Week 2024 kicks off across all 25 districts

LATES'T NEWS

35 MPs seek housing facilities at Madiwela complex

150 mm rain today

Jeep plunges into stream: Two brothers killed

Discrepancies in issuance of permits to expatriate workers to import electric vehicles

Third review approved by IMF, SL to get next US$ 333 million tranche