Dhaka stocks advanced last week after a four-week bear run with an increase in turnover as investors became active in the week amid hopes for a dialogue between the two major political parties over polls-time government. The market, however, remained volatile late last week as the dialogue hopes faded with the political parties showing no sign of goodwill to hold talks over the issue, operators said.
The benchmark general index of Dhaka Stock Exchange, DSEX, closed at 3,967.73 points on Thursday, last trading day of the week, adding 4.43 per cent or 168.46 points in the week.
DS30, the blue-chip index of the bourse, increased by 3.46 per cent, or 47.11 points, to finish at 1,408.15 points.
The daily average turnover of the DSE increased to Tk 349.92 crore from Tk 198.62 crore in the pervious week.
Market operators said investors, encouraged by a development on the political front early in the week, increased their participation in the market throughout the week.
On October 26, prime minister Sheikh Hasina and opposition leader Khaleda Zia spoke to each other over phone with the former inviting her arch political rival to a dialogue over dinner to defuse the crisis over an election-time interim government.
The DSEX and the DS30 had lost 298.50 points and 151.40 points respectively in the previous four weeks.
Lucrative share prices after the four-week fall were another reason which attracted investors to purchase shares and pushed the market up, said operators.
A stockbroker said investors hoped that the dialogue would be held and the political parties would bring to an end to the standoff over polls-time government.
The bank sector was the main driving force as the sector gained around 8 per cent in the first three trading sessions of the week as investors expected improved performance from banks, he said.
The bank sector gained 6.61 per cent last week, while telecommunication sector advanced by 6.92 per cent and textile sector gained 5.24 per cent in the week.
‘Up tone hit strongly right from the very beginning of the week as optimism rose on political frontier,’ IDLC Investments said in its weekly market commentary.
Earnings disclosures and dynamic political vibes highlighted this week’s [last week] market, it said.
‘The week mostly showcased impact of investors’ reaction centring over quarterly earnings, macroeconomic phenomenon and political swings,’ IDLC also said.
Of the 293 shares and mutual funds traded last week, 190 advanced, 97 declined and six remained unchanged.
Generation Next Fashions led the turnover leaders with its shares worth Tk 99.10 crore changing hands.
Envoy Textiles, Argon Denims, United Commercial Bank, Beximco, NBL, Bangladesh Submarine Cable Company, Malek Spinning Mills, Active Fine Chemicals and Golden Son were other top turnover leaders.
Premier Bank gained the most last week with its share price advancing by 27.78 per cent.
IFIC Bank, Summit Purbanchol Power Company, Rahim Textile, Metro Spinning, Malek Spinning Mills, Jamuna Bank, United Commercial Bank, City Bank and Mercantile Bank were also on the top gainers’ chart.
Delta Life Insurance lost the most — shedding 94.88 per cent.
Jute Spinners, Savar Refractories, Desh Garments, Meghna PET, Imam Button, Northern Jute Manufacturing, Kohinoor Chemicals, BD Autocars, Beacon Pharmaceuticals were also on the top losers’ chart.
-With New Age input
