The Colombo Stock Exchange posted its second consecutive week of gains as technology and communications stocks drove the market higher, reversing a five-week downturn.
Sri Lanka's equity market maintained its upward momentum on Friday, with the CSE All-Share index closing 0.39% higher at 21,623.17 points. The market completed its second successive week of gains, marking a recovery from a previous five-week decline that had pressured valuations across the board.
The rally was primarily fueled by strength in communication services and information technology stocks. Industrial Asphalts (Ceylon) PLC and Softlogic Capital PLC emerged as top percentage gainers on the index, according to exchange data. The All-Share index advanced 1.1% over the full week as investor sentiment gradually improved.
However, the session saw a slight contraction in trading activity. The number of shares traded fell to 76 million from 76.7 million in the previous session, while the equity market's turnover declined to 2.24 billion Sri Lankan rupees (approximately $6.7 million) from 2.78 billion rupees previously.
Foreign investors maintained a cautious stance, becoming net sellers and offloading shares worth 723.7 million rupees. In contrast, domestic investors drove the recovery by purchasing 2.21 billion rupees worth of stocks, demonstrating confidence in the local market's near-term prospects.
