Sri Lanka It's Happening

January 6, 2006

The president, the man from the South is driving the stock market further and further south. In stock market in the world, 5% movement in any indice is a rarity. Since nov 17, that 5% drops have become the norm rather than the exception.

Since the momement the LTTE imposed a ban on the people of the North and East from voting the market started to slide. The LTTE helped Mahinda to come to power and the LTTE leader even went on to praise the president in his heroes day speech. On that day the market did go up slightly. Other than that it has been, slide, slide, slide.

The line in the middle of the image marks nov 17, the day the election was held.
On some days we have seen 8.5% drops and these are shown by the 'cliff edges' on the chart.

Many of the down turns were haled by knee jerk reactions of the bargain hunters trying to pick up stocks at give-away prices. Others levelled when government controlled funds intervened to prop up the market. What's significant is that each high has been lower than the previous.

Posted by raditha at January 6, 2006 9:17 AM