* Dealers see rupee depreciating further
* Stx edge up in thin trade
(Reuters) - Sri Lanka's rupee ended firmer on Tuesday as banks sold dollars amid concern the currency will depreciate further, while the stock market moved sideways as concerns over corporate profits loomed in thin trade.
The rupee closed 121.45/55 a dollar, firmer than Monday's close of 121.95/122.05, in light trade, dealers said.
A Reuters monthly forex poll on Wednesday has forecast the rupee to fall as far as 128.50 by the end of August.
The rupee has fallen 5.9 percent since Feb. 9, when the central bank stopped defending it.
The stock market meanwhile edged up in low trade as many investors stayed away on concerns of slowing economic growth, rising interest rates and broadly flat December quarter profits.
The main share index edged up 0.24 percent or 12.86 points to hit 5,477.67.
The day's turnover was 441.4 million Sri Lanka rupees ($3.62 million) well below last year's daily average of 2.3 billion. The day's volume was 17.3 million. Last year's daily average was a record 102.7 million.
Foreign investors bought shares worth 983,963 rupees, extending the offshore net foreign inflow to 2.73 billion rupees so far this year, after a net outflow of 19.1 billion last year.
The Colombo bourse is one of the worst performers this year among Asian markets, with a 9.82 percent loss while the majority have had positive returns.
Stock and foreign exchange markets will be closed on Wednesday due to a Buddhist religious holiday. Normal trading will resume on Thursday.
($1 = 121.7000 Sri Lanka rupees)
(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Bryson Hull)
http://in.reuters.com/article/2012/03/06/markets-srilanka-idINL4E8E63SB20120306