Sri Lankan stocks rose on Monday to reach an 18-month closing high led by telecom and diversified shares, but volume was thin as foreign trading low. Domestic investors, however, cautiously acquired shares amid concern over a proposed tax bill. The day's turnover was 427.9 million rupees, less than half of this year's daily average of 915.5 million rupees.
The Colombo stock index ended 0.31 percent higher at 6,758.24, its highest close since Jan 7, 2016. "There was less foreign participation today, which resulted in lower turnover," said Hussain Gani, deputy CEO of Softlogic Stockbrokers. Foreign investors net bought 101.1 million Sri Lankan rupees ($658,203) worth of shares on Monday, extending their year-to-date net inflows to 22.8 billion rupees worth of equities. Shares of Sri Lanka Telecom Plc rose 1.6 percent.