Dhaka stocks decline for three weeks in a row
Dhaka stocks declined last week, for three weeks in a row, with decline in turnover as no significant improvement took place in the political frontier which made investors panicky.
The benchmark general index of Dhaka Stock Exchange, DSEX, declined by 2.66 per cent or 104.89 points, to finish at 3,843.56 points last week.DS30, the blue-chip index of the DSE, declined to 1,387.95 points, shedding 3.74 per cent or 53.99 points.
The DSEX and the DS30 lost 254.22 points and 124.49 points respectively in the last three weeks.
The turnover of the bourse declined to Tk 238.06 crore from Tk 279.19 crore in the previous week.
Market operators said the investors sold shares in the week amid investors’ fear of further uneasiness in the political frontier as both the political parties remained stuck-up on their respective stance regarding the next polls-time government.
The market advanced in the last two trading sessions of the week as some state-owned entities supported the market to keep it afloat, they said.
Stock brokers said the positive vibe of the market shown in the last two trading sessions in last week would not sustain after the Eid vacation if the political situation did not improve.
Sell pressure ahead of Eid-ul-Azha was another reason behind the positive turnover, they said.
Share sell-offs from the mutual funds surrounding September closing were a significant reason behind the straight three trading sessions’ fall, they said.
Of the 293 shares and mutual funds traded on the week, 38 advanced, 249 declined and 6 remained unchanged.
‘Dragged by cashing out ahead of long closure for Eid-ul-Azha, one of the biggest festivals of Muslims, amid much more sluggish participation streamlined this week’s market sentiment,’ IDLC Investments said in its weekly commentary.
‘Consistent positioning of index below psychological level of 4,000 points in line with fear of further decline fuelled this week’s decaying vibe and forced investors’ mood turning into selling spree,’ it said.
The IDLC also said, ‘Waning tone stretched with consistent dropdown in index alongside lack of positive surprise in political frontier.’
Delta Life Insurance, a ‘Z’ category shares, led the turnover chart in the week as its shares worth Tk 50.77 crore changed hands.
Argon Denims, Square Pharma, Envoy Textiles, Bangladesh Building Systems, CMC Kamal, Bangladesh Submarine Cable Company, United Airways, JMI Syringes and Medical Devices and Active Fine Chemicals were among other turnover leaders.
Argon Denims gained the most last week as its share prices increased by 24.18 per cent, while Fine Foods lost the most shedding 29.43 per cent.
-With New Age input
