Stocks: Panic selling in Colombo on Monday

Panic retail selling during Monday's early trade at the Colombo Stock Exchange (CSE) saw the S & P Index decline by 5 per cent, thereby shutting the market for 30 minutes, as prescribed according to CSE rules.

Trading was temporarily halted for 30 minutes from 11.02 am to 11.32 am when the S&P SL20 index fell 108.36 points or 5.06 per cent to 2,031.83 and the All Share Price Index also fell 2.63 per cent or 131.28 points in early trade to 4,861.34.

Analysts said that retailers panicked amidst fears of a second wave of the COVID-19 pandemic, especially after the Education Ministry closed down schools for a week from Monday following a spike in COVID-19 patients from a drug rehabilitation centre in north central Sri Lanka. 

Trading resumed at 11.32 am. The All Share Price Index was down by 183.20 points to 4,809.42 while the S&P SL20 index indicated a fall of 137.07 points to 2,003.12 at the end of session. (DEC)