Market up but investors still cautious

STOCK MARKET: The stock market closed on a positive note yesterday although the indices were only marginally up and the turnover level remained moderate with investors taking a cautious approach.

Nearly 1.5 million Lanka IOC shares were traded yesterday as the investor interest was building up on the shares of the petroleum sector player which increased fuel prices recently to be on par with international prices. The share closing at Rs. 26 was marginally up.

The All Share Price Index was up by 6.96 points and closed at 2,218.04 points. The Milanka Price Index was up by 10.19 points to close at 2,816.77 points. The turnover was a touch below Rs. 190 million. Touchwood Investments, Nawaloka Hospitals were among the other heavily traded stocks.

"Investors are still skeptical about the political situation in the country. Although there had been an invitation by the President to the main opposition party still we don't know whether a national government is a possibility. It provides a platform for all the parties to come to a consensus on the national issue.

Such a development could improve the investor sentiment and the market would go up as a result," Angelo Ranasinghe of Bartleet Mallory Stockbrokers told the Daily News.

(CK)