Sri Lanka shares jump over 2 pct on U.N. resolution

COLOMBO | Thu May 28, 2009 2:51am EDT

COLOMBO May 28 (Reuters) - Sri Lankan shares .CSE gained over 2 percent on Thursday in early trade as investor confidence jumped after Sri Lanka defeated attempts to push a war crimes and rights investigation at the U.N. Human Rights Council.

The Colombo All-Share Price Index .CSE had gained 2.52 percent or 54.30 points to 2210.34 at 0552 GMT, its highest close since Sept. 26. It recorded a turnover of over 400 million rupees ($3.48 million).

"The UN resolution has given an international acceptance for the war and market is up on that, in addition to the war victory," said Hussain Gani, associate director at Asia Securities.

Top mobile phone operator Dialog Telekom DIAL.CM was up 4.55 percent to 5.25 rupees, while top conglomerate John Keells Holdings JKH.CM had gained 3.18 percent to 1123.50 rupees, provisional data showed.

The U.N. Human Rights Council passed a resolution on Wednesday celebrating Sri Lanka's victory over the Tamil Tiger rebels, ignoring Western-led calls for aid for refugees and political rights for minorities. [ID:nLR170562]

Sri Lanka's military ended a 25-year war over the Tamil Tigers last week by defeating the separatists, killing its leadership and liberating all rebel-held territories. ($1=114.925 rupees) (Reporting by Shihar Aneez; editing by Bryson Hull)

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