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Sri Lanka bourse slips on low credit

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1Sri Lanka bourse slips on low credit Empty Sri Lanka bourse slips on low credit Tue Dec 20, 2011 8:57 am

thilankad

thilankad
Manager - Equity Analytics
Manager - Equity Analytics

Sri Lanka's stock market fell in light turnover and volume on Monday due to a lack of credit and pre-holiday doldrums, while the central bank held the rupee steady.

The island nation's main share index lost 0.54 percent or 31.73 points to 5,860.96, lowest since Nov. 25.

Investors shrugged off a central bank decision over the weekend to rescind an order that limited banks to extending a maximum of 5 percent of outstanding loans to margin trading. It instead ordered bank directors to set prudent internal risk
limits.

The day's turnover was 537.6 million Sri Lanka rupees ($4.72 million), well below last year's average of 2.4 billion and this
year's 2.4 billion.

Total volume was 18.7 million shares, against a five-day average of 21.1 million. The 30-day and 90-day average trading
volumes were 47.7 million and 93.8 million. Last year's daily average was 67.9 million.

Analysts said credit for share buying has been a concern since the Securities and Exchange Commission curbed the amount
brokerages could extend, although brokers expect the regulator under a new chief to accommodate more lending


http://www.reuters.com/article/2011/12/19/markets-srilanka-idUSL3E7NJ40420111219

http://thilankadinush.blogspot.com/

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