Sharp Downturn Hits CSE as Key Indices Slide

Date:

December 01, Colombo (LNW): The Colombo Stock Exchange endured a turbulent trading session today, with both of its benchmark indices suffering steep declines amid heightened investor caution.

By the end of the day’s dealings, the All Share Price Index had retreated by nearly 700 points, settling at 22,022.06 — a drop of just over three per cent. Market analysts described the fall as one of the more pronounced single-day dips in recent weeks, reflecting a blend of global uncertainty and local profit-taking.

The S&P SL20, which tracks some of the largest and most liquid companies on the exchange, also recorded a substantial setback. It shed 181.16 points to conclude at 6,085.87, signalling widespread weakness across heavyweight counters.

Brokers noted that selling pressure intensified in the latter half of the session as institutional investors trimmed positions in key sectors including banking, diversified holdings and manufacturing.

Despite the downturn, trading activity remained brisk, with total turnover surpassing Rs. 5.23 billion. Several market watchers suggested that the high turnover indicates not only exits from certain stocks but also strategic repositioning by investors seeking bargains in the midst of the volatility.

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