Sri Lanka stocks close lower

sriranga · 1 Sri Lankan stocks at near 9-wk low on tax concerns Mon Nov 25, 2013 6:03 pm

sriranga

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COLOMBO, Nov 25 (Reuters) - Sri Lankan stocks fell on Monday to hit a near nine-week closing low while turnover hit a more than four-month low on concerns over lack of clarifications about taxes in the 2014 budget proposals presented last week.

The main stock index closed down 0.29 percent, or 17.05 points, at 5,775.67, its lowest close since Sept. 18.

The day's turnover was 193.5 million rupees ($1.48 million), its lowest since July 17, and well below this year's daily average of around 853.3 million rupees.

Sri Lankan President Mahinda Rajapaksa, who is also the finance minister, unveiled a 2014 budget that aims to spur growth, shrink the budget deficit and expand the stock exchange in Colombo.

Many analysts said though the budget seems to be ensuring fiscal consolidation, it is expected to raise the cost of goods and services because of high taxes. On Monday, thousands of Marxist opposition members protested against the tax hikes.

Analysts and stockbrokers also said they were awaiting more clarifications on budget proposals.

The banking sector index fell 0.46 percent on Monday. The government also slapped a 2 percent nation-building

tax on banks and the financial sector with effect from January.

Shares in large-cap firm Bukit Darah PLC fell 1.30 percent to 659.80 rupees while conglomerate John Keells Holdings PLC fell 0.50 percent to 217.80 rupees.

Foreign investors were net sellers of 12 million rupees worth of shares, but they have been net buyers of 22.59 billion rupees so far this year.

($1 = 131.1500 Sri Lanka rupees)

(Reporting by Ranga Sirilal and Shihar Aneez; Editing by Sunil Nair)

(ranga.sirilal@thomsonreuters.com)(+94-11-232-5540)

(Reuters Messaging: ranga.sirilal.thomsonreuters.com@reuters.net)(twitter.com/rangab a)
http://www.xe.com/news/2013/11/25/3682085.htm?c=1&t=

Redbulls · 2 Sri Lanka stocks close lower Mon Nov 25, 2013 6:03 pm

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Nov 25, 2013 (LBO) - Sri Lanka stocks closed 0.29 percent lower with diversified stocks losing ground amid low foreign activity on the bourse, brokers said.

The Colombo benchmark All Share Price Index closed 17.05 points lower at 5,775.67, down 0.29 percent. The S&P SL20 closed 14.94 points lower at 3,182.94, down 0.47 percent.

Turnover was 193.48 million rupees, down from 306.59 million rupees last Friday, with stocks of 116 firms closing in the red against 54 gainers.

Dialog Axiata closed flat at 9.00 rupees with market transactions of 32 million rupees contributing to 17 percent of total turnover. Dialog’s off market transaction of 20 million rupees contributed to 10 percent of total turnover.

Foreigners brought 33 million rupees worth shares while selling 45 million rupees of shares. Finlays Colombo closed 54.70 rupees lower at 225.30 rupees and Distilleries closed 4.50 rupees lower at 184.50 rupees, contributing most to the index drop.

Singer Sri Lanka closed 9.50 rupees lower at 90.40 rupees and JKH closed 1.10 rupees lower at 217.80 rupees. JKH’s W0022 warrants closed 2.10 rupees lower at 57.60 rupees and JKH’s W0023 warrants closed 50 cents lower at 64.50 rupees.

Ceylon Tobacco Company closed 18.20 rupees higher at 1,056.20 rupees and Cargills Ceylon closed 3.70 rupees higher at 154.70 rupees.

Nestle Lanka closed 15.00 rupees higher at 1,930.00 rupees and Ceylinco Insurance closed 22.00 rupees higher at 1,304.00 rupees. Lion Brewery closed 5.00 rupees higher at 345.00 rupees and Commercial Leasing and Finance closed 10 cents lower at 4.00 rupees.

Sri Lanka Telecom closed 10 cents lower at 37.20 rupees and Commercial Bank closed 60 cents lower at 113.40 rupees. Carson Cumberbatch closed 10 cents higher at 368.60 rupees.

HNB closed 40 cents lower at 144.50 rupees and Lanka Orix Leasing Company closed flat at 63.00 rupees. Aitken Spence closed 10 cents lower at 109.90 rupees and Aitken Spence Hotel Holdings closed 90 cents lower at 65.10 rupees.

DFCC closed 2.00 rupees lower at 120.00 rupees and Sampath Bank closed 1.90 rupees lower at 162.10 rupees. Asian Hotels and Properties closed 80 cents lower at 69.00 rupees and Bukit Darah closed 8.70 rupees lower at 659.80 rupees.

NDB closed 90 cents lower at 151.00 rupees and Touchwood Investments closed 20 cents lower at 2.90 rupees.
http://www.lankabusinessonline.com/news/sri-lanka-stocks-close-lower/307804828

worthiness · 3 Re: Sri Lanka stocks close lower Mon Nov 25, 2013 10:11 pm

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It is true that lack of clarification of the budget 2014 so far, resulted no inducement towards capital market. Though tax breaks and flexing the rigid regulations intended as inducement to greater reinvestment, it is irrational and not endowed with, in giving the full weight on the budget exposition. I guess, the confidence placed on the market status & its environment is one of the main issues. It has to be resolved sooner, taking into consideration all unsolved events.