Reuters – Feb 1 Sri Lankan shares rose for a third straight session on Monday to end at their highest in more than a week led by large-caps, but trading volume slumped to a more-than-one-month low.
The main stock index ended 0.36 percent higher at 6,363.18, the highest close since Jan. 22.
The index has fallen 7.7 percent so far this year as foreign investors, unnerved by global concerns over China’s economy, cut their exposure.
“Market is moving up slowly in low volumes. I think market can move up a bit with the earnings,” said Dimantha Mathew, research manager at First Capital Equities (Pvt) Ltd.
Turnover was 273.3 million rupees, the lowest since Dec. 30, and well below this year’s daily average of 724.5 million rupees.
The 14-day relative strength index (RSI) returned to the neutral zone from oversold territory after three successive sessions of gains, Thomson Reuters data showed.
Foreign investors sold a net 27.9 million rupees ($193,817) worth of shares on Monday, extending the year-to-date net foreign outflow to 2.77 billion rupees worth of equities.