CSE hits low, will recover

The Colombo stock market recorded its lowest ever turnover in more than two years last Monday but the bourse is expected to recover next week. Turnover fell to Rs 48.6 million, the lowest since November 24, 2004 when the coalition People’s Alliance government took over. But the turnover rose to Rs 214 million on Tuesday with the market also open on Wednesday before the Avurudhu holidays.

“The turnover levels will pick up next week. This thus is a temporary situation,” a stock market analyst said. He said that many companies have posted good results for 2006 and the investors will have a positive sentiment by the end of the month. “Investors continuing to be on the sidelines waiting to celebrate the Sinhala and Tamil New Year have triggered a lull in investor sentiment in the market. Investors should look for bargains in the market,” SC Securities said in a report.