Dhaka stocks advanced last week after a decline in the previous week as the institutional investors increased their participation on the trading floor to avail the opportunity of buying cheap shares after the recent downward trend.
The key index of Dhaka Stock Exchange, DSEX, finished at 4,392.15 points, adding 0.67 per cent or 29.06 points.
The daily average turnover of the bourse increased to Tk 207.80 crore from Tk 192.03 crore in the previous week.
Market operators said that the institutional investors might have increased their participation on the trading floor as the share prices declined sharply in straight nine trading sessions.
Most of the institutional investors were on the sideline after the half-yearly closing share sell-offs as they were expecting decline in share prices to avail shares cheaply.
Operators said that due to that, since June 30, the institutional investors almost refrained from trading resulting nine-month low turnover at the bourse in the previous week.
Along with the institutional investors, retail investors, who were shaky after the recent fall, also started to contribute on the trading floor, operators said.
Expectation of capital market-friendly upcoming monetary policy for the next half of the year was another reason for an increased participation of the institutional investors, said operators.
Of the 305 shares and mutual funds traded, 120 advanced, 147 declined and 38 remained unchanged.
DS30, the blue-chip index of the DSE, however, declined to 0.09 per cent, or 1.46 points, to close at 1,602.93 points.
The Shariah index of the bourse, DSES, finished at 998.88 points, increasing by 0.20 per cent or 1.98 points.
‘Dynamic trading pattern, consisting of cashing out over Eid-ul-Fitr and lucrative positioning for spread search in frequent interval remained persistent in market mechanism,’ IDLC Investments said in its weekly market commentary.
Besides, MPS and half-yearly and yearly earnings centric expectations were also prevalent in the market, it said.
‘Additionally, two weeks’ negative tone got marginally neutralised by some positive news on the macroeconomic front,’ said IDLC.
BEXIMCO led the turnover leaders with its shares worth Tk 118.19 crore changing hands. BEXIMCO’s share price increased the most — by 19.73 per cent last week.
Grameenphone, Square Pharma, Shahjibazar Power Company, Lafarge Surma Cement, Olympic Industries, Appollo Ispat Complex, Beximco Pharma, Far Chemical Industries and The Peninsula Chittagong were among the other turnover leaders.
Sandhani Life Insurance lost the most, shedding 25.19 per cent.
-With New Age input
