The Colombo Stock Exchange (CSE) posted a strong recovery on Thursday (April 10), echoing a broader rebound in global markets after the United States delayed the implementation of new import tariffs that had earlier shaken investor confidence worldwide.

The benchmark All Share Price Index (ASPI) soared by 704.88 points, or 4.7%, to close at 15,580.83—marking one of the most significant single-day gains in recent months. The S&P SL20 Index, which tracks the performance of 20 leading companies, also surged by 290.94 points to end the day at 4,643.63, reflecting a robust 6.68% gain.

Market turnover reached Rs. 6.97 billion, substantially higher than in recent sessions, as investor activity intensified amid renewed optimism.

The sharp uptick comes after U.S. President Donald Trump announced on April 9 that the implementation of his latest import tariff policy would be deferred by three months. The announcement brought relief to global markets, which had been rattled by the initial declaration on April 2, leading to steep losses in both developed and emerging economies.

In Sri Lanka, the ASPI had dropped by approximately 7% in the span between April 2 and April 9, reflecting heightened concerns over global trade tensions and their potential ripple effects on frontier markets.

However, Thursday’s rally suggests a return of investor confidence, as market participants responded positively to the easing of geopolitical uncertainty and the likelihood of short-term stability in international trade flows.