DSE turnover hits 4-month high
Dhaka stocks surged on Sunday with the turnover hitting a four-month high as both retail and institutional investors went on a buying spree hoping that the market would remain stable for a while.
DGEN, the benchmark general index of Dhaka Stock Exchange, gained 2.98 per cent, or 127.09 points, to close at 4,383.41 points.
Turnover of the bourse increased to Tk 525.69 crore on Sunday from that of Tk 362.59 crore in the previous trading session on August 14.
The previous highest of the DSE turnover was at Tk 614.05 crore on April 26.
Market operators said return of institutional investors made the retailers hopeful about the market.
They said an improved liquidity condition in banks likely increased their stock investment.
The DGEN gained 117.09 points, or 2.75 per cent, in the three trading sessions in the closing week before the Eid vacation with an average daily turnover of Tk 339.78 crore.
‘The turnover indicated that institutional investors returned to the trading floor. That also boosted retail investors on the day,’ Union Capitals managing director Akter H Sannamat told New Age on Sunday.
He said a pause in the government borrowing from banks in the last two months made additional money available to the banks.
‘Market price is attractive. The institutional investors seem willing to buy shares as they have more money in hand and earlier losses to provision,’ he said.
Among the major sectors, power gained the most on Sunday — 5.72 per cent, followed by non-bank financial institutions that gained 5.25 per cent.
Bank shares increased by 2.80 per cent and pharmaceuticals gained 1.68 per cent on the day.
Telecommunications declined by 0.81 per cent following the end of lock-in period for Grameenphone’s sponsor shares on the day.
‘The market was dull for a long time and it has started revolving with some institutional participation,’ AIMS Bangladesh managing director Yawer Sayeed told New Age.
He, however, said, ‘Many of the retail investors want to leave the market with minimum losses. So, when the market rise suddenly, it also creates a scope for major sell-offs.’
Of the 271 issues traded on Sunday, 243 advanced, 24 declined and four remain unchanged.
Meghna Petroleum topped the list of turnover leaders with its shares worth Tk 39.06 crore changing hands.
The other turnover leaders were Unique Hotel, Jamuna Oil, Titas Gas, Bangladesh Submarine Cable Company, Grameenphone, Beximco, Keya Cosmetics, LankaBangla Finance and GPH Ispat.
-With New Age input
