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04 percent (118.04 points) at 5,663.09, while the more liquid Milanka index fell 2.14 percent (105.18 points) to close at 4,811.71.
Turnover was 827 million rupees, according to stock exchange provisional figures.
The market has now slumped 266.25 points or 4.5 percent since the Securities and Exchange Commission on January 16, 2012 agreed to demands from stock brokers to allow more credit for clients to buy stocks.
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Newly listed Asia Asset Finance was the most actively traded stock and closed at 5.90 rupees, down 30 cents with over 5.99 million shares traded.
Aitken Spence, which announced it was selling its stake in a planned new container terminal in Colombo port, fell two rupees to end at 108 rupees.
Citrus Leisure was the day's biggest loser, closing at 41.50 rupees, down 2.70.
Swarnamahal Financial Sevices accounted the highest turnover, closing at 99.60 rupees, up 10.30 rupees.
Waskaduwa Beach Resort came next in turnover, closing at 11 rupees, down 90 cents.