Sri Lankan shares slip in thin volume

Tue Jan 21, 2014 6:54am EST

COLOMBO, Jan 21 (Reuters) - Sri Lankan shares slipped in
thin volume on Tuesday, led by oil palms and beverage companies,
though foreign investors bought in risky assets in an overbought
market.
    The main stock index edged down 0.05 percent, or 3.14
points, to 6,153.54.
    Officials from the Colombo Stock Exchange and the Securities
and Exchange Commission, along with some top company officials
and brokers, were in Singapore for a roadshow to attract more
foreign funds.
    The SEC said in a statement that more than 200 institutional
investors, investment banks and financial advisors attended the
roadshow.
    Shares of Carsons Cumberbat PLC fell 0.38 percent
to 368.10 rupees, while Selinsing PLC dropped 17.07
percent to 1,035 rupees.
    The market has gained 3.51 percent in the last nine
sessions, which analysts attributed to the central bank's
interest rate cut on Jan. 2 and the recent fall in T-bill
yields.  
    The index has been in an overbought region since Jan. 7,
Thomson Reuters data showed. It has risen 4.07 percent so far
this year following a 4.8 percent gain in 2013 after having
fallen in the previous two years.
    The day's turnover was 414.1 million rupees ($3.17 million),
half of last year's daily average of about 828.4 million rupees.
    Foreign investors were net buyers of 92.07 million rupees
worth of shares, extending the year-to-date net inflow to 684
million rupees. They had bought 22.88 billion rupees of stocks
last year.
($1 = 130.7400 Sri Lanka rupees)

 (Reporting by Ranga Sirilal and Shihar Aneez; Editing by
Subhranshu Sahu)