Colombo stocks follow Asia, US market collapses
Asian and US markets crashing rubbed off on the Colombo stockmarket when the All Share Index (ASI) hit the 1900s yet again for the fourth time in two weeks when the market opened on Thursday.
Stock analysts say this ‘hurt mentality (Asian crash)’ has crept into the market, but as displayed earlier it will turn around. “The market recovered during the last three trading days after the free fall seen for sometime and it will bounce back,” Thakshila Hulangamuwa, Vice President Business Development Asha Phillips said.
He also said that after the past three ‘good' days, it is time for the market to take some profits. Nikitha Tissera, Manager Research, Sampath Securities said that right now there is nothing solid to drive the market, adding that the real acid test will be the third quarter earnings in corporates.
The ASI was down by 30.55 points to 2003.20 while Milanka dropped 16.89 points to 2243.36 in early trade while the turnover was at Rs 43 million.