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Sri Lanka shares becalmed

Feb 25, 2010 (LBO) - Sri Lankan shares closed almost flat Thursday as many investors chose to hold and not trade with parliamentary elections due in April, brokers said. "The first full-year, post-war results would be comping out after the elections and the first quarter results.
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"

There were two private off-the-floor deals, one involving 252,100 National Development Bank shares at 220 rupees a share and the other Nawaloka Hospitals at 2.60 rupees.

NDB closed flat at 220 rupees with 541,000 shares traded.

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Nawaloka Hospitals closed at 3.60 rupees, up 10 cents, with almost 10 million shares traded.

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The All Share Price Index closed at 3,782.25, up 0.18 percent (6.74 points) while the more liquid Milanka index rose 0.

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35 percent (15.29 points) to close at 4,347.27.

Turnover was 856 million rupees, according to stock exchange provisional figures.

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Rakshitha Perera, research manager at Bartleet Mallory Stockbrokers, said sentiment among investors remained positive but that activity levels had fallen.

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"Most investors have adopted a wait-and-see approach. Some investors who bought do not want to put in more and are holding on with elections around the corner again.


"

The government has called parliamentary polls on April 8.

Perera said company earnings coming after the polls should reveal how they performed with the end of the island's 30-year ethnic war in May 2009.

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