Dhaka stocks on Wednesday crossed the 8,600-point mark for the first time ever on heavy buying by investors of high-profile shares that saw their prices slide in the previous two trading days following the SEC directive on margin loan ratio.
The benchmark general index of DSE advanced by 118.09 points, or 1.38 per cent, to close at 8,672.90 points on the day. With this, the index has gained 150 points since Tuesday’s surge, further widening the demand-supply gap of shares in the overheated market.
The DSE crossed the 8,500-point mark for the first time on November 21, with 605.1 points added to its general index since November 1.
Salahuddin Ahmed Khan, a finance teacher of Dhaka University, said the bank sector rebounded on Wednesday after adjusting the margin loan.
A dearth of good shares on the market resulted in a rise in share prices, prompting investors to buy overpriced securities, he added.
Akter H Sannamat, managing director of Prime Finance and Investment, one of the country’s leading financial institutions, said the Securities and Exchange Commission had failed to cool down the market by reducing the margin loan ratio.
Investors continued to inject fresh funds into the overheated market to pocket quick profit, he observed.
Trading of the shares of two companies was suspended at around 12:30pm, when the DSE launched an investigation into the unusual price hike of the issues. The companies are Dulamia Cotton and Rahim Textile. The DSE had suspended the trading of shares of 13 companies on Tuesday because of their unusual price rise.
Of the total 232 issues traded on the day, 121 advanced, 107 declined, and four remained unchanged.
The daily turnover on the bourse was Tk 2,693.03 crore, down by Tk 43
crore from the previous trading day.
Pubali Bank topped the turnover leaders with 92.08 lakh shares valued at Tk 10.73 crore traded on the day.
The rest of the turnover leaders were Beximco, Titas Gas, NCC Bank, Peoples Leasing and Financial Services, Southeast Bank, Shinepukur Ceramics, and Square Textiles.
Dulamia Cotton was the day’s biggest gainer, posting a 17.03 per cent rise in its share price, while Active Fine Chemicals was the worst loser.
