Sri Lankan shares hit fresh record highs at close on Thursday, helped by gains in financial and consumer stocks.

The CSE All-Share index rose 1.56% to end at 10,686.37 points, its highest closing level ever.

Commercial Leasing and Finance Plc and LOLC Finance rose 4.8% and 23.9%, respectively, the biggest boosters to the index.

The country's central bank said in a report on Thursday headline inflation could remain above its target levels in the near term.

The report added that the central bank expected gross official reserves to be enhanced to adequate levels despite near term volatilities.

Sri Lankan shares rebound on financials, industrials

The equity market's turnover was 6.88 billion rupees, according to stock exchange data.

Trading volume on the exchange fell to 347.5 million shares, from the 364.0 million shares in the previous session.

Foreign investors were net sellers in the equity market, selling shares worth about 85.1 million rupees, as per exchange data.

In the last 24 hours, the island-nation has reported 693 COVID-19 cases, taking the total to 547,346 with the death toll at 13,908, data from the country's health bureau showed.

About 62.36% of the country's population is fully vaccinated so far, according to data from Johns Hopkins University.