Dhaka stocks advanced on Tuesday, the second straight session after the Eid-Ul-Fitr holidays, amid higher turnover as investors’ participation increased on the belief that the market won’t fall further.
DSEX, the benchmark general index of the Dhaka Stock Exchange, finished at 3,979.35 points on Tuesday, gaining 1.59 per cent, or 62.51 points, a contrast to the days before the Eid holidays when it had lost 462.30 points in 13 trading sessions due to delay in implementing the refinancing scheme for the affected small investors and political instability.
The blue chip index of the bourse, DS30, added 1.74 per cent, or 25.88 points, to close at 1,507.64 points on the day.
Market operators said investors’ participation on the trading floor increased on the day despite it being the first day of the 48-hour general strike called by the Jamaat-e-Islami as they were hoping that the market would advance for some sessions after losing significantly before the Eid holidays.
Support from some merchant banks and state-owned entities early in the trading session also gave the traders a reason to be active on the trading floor, they said.
Lower prices of shares after significant fall before the Eid lured the investors to avail themselves of the opportunity, a merchant banker said.
The belief that the government would soon release the first phase of the Tk 900 crore refinancing scheme for the small scale investors was another reason behind active participation of the investors, they said.
The turnover of the bourse increased to Tk 323.21 crore from the previous session’s Tk 162.29 crore, which was the lowest since May 26 when it was recorded Tk 165.58 crore.
‘Lucrative prices pumped up demand throughout the session and turned market dimension today. Resultantly, the bourse retained its position in green zone for the third consecutive session with the addition of 62.52 points,’ IDLC Investments said in its daily market.
‘Despite a 99.15 per cent rise in turnover, activity maintained lethargic trend as Q2 declarations passed by and investors were observing political situations ahead of imminent national election,’ it also said.
Among the 286 shares and mutual funds traded on the day, 228 advanced, 36 declined and 22 remained unchanged.
Padma Oil led the turnover chart as its shares worth Tk 28.11 crore changed hands.
While Meghna Petroleum, Bangladesh Submarine Cable Company, Olympic Industries, Square Pharmaceuticals, Jamuna Oil, Argon Denims, Premier Cement, Grameenphone and United Airways were the day’s other turnover leaders.
Eastern Housing gained the most on the day as the price of its shares increased by 9.95 per cent while Samata Leather Complex lost the most, 4.42 per cent.
-With New Age input
