Dhaka stocks advanced last week, second week in a row, as the investors found the current political situation, which is comparatively stable, would not hamper the upbeat vibe of the market immediately, stockbrokers said. They key index of the Dhaka Stock Exchange, DSEX, increased to 4,642.38 points, adding 1.41 per cent or 64.38 points over the week. An increased share price of most of the listed companies determined the investors’ optimistic participation on the trading floor during the week, the stockbrokers said.
Decline in bank deposit rate to around 9 per cent in the recent time from 13 per cent might have diverted funds to the capital market from the banking sector, resulting increased number of buyers, they observed.
On the other hand, as investors found share prices of large capitalised and multinational companies increasing significantly and becoming risky they prompted to invest on cheap and comparatively weak fundamental scrips, they said.
As a result, small capitalised and comparatively weak fundamental scrips dominated the trading floor throughout the week by capturing majority among the week’s gainers list, said the stockbrokers.
Mutual funds suffered the most last week as the investors found the dividends declared by the asset management companies were unappealing, they said.
DS30, the blue-chip index of DSE, rose by 1.84 per cent, or 31.77 points, to reach to its all-time high at 1,758.24 points after its launch in January 28, 2013 with 1,460.30 points.
The shahriah index of the bourse, DSES, finished at 1,088.93 points, increasing by 2.14 per cent or 22.80 points.
The daily average turnover of the prime bourse declined to Tk 540.02 crore last week compared with that of Tk 690.21 crore in the previous trading session.
Of the 309 shares and mutual funds traded over the week, 189 advanced, 101 declined and 19 remained unchanged.
‘Coupled with extended vibe in large caps, short-term profit motivated clienteles to look at some micro and small cap stocks,’ IDLC Investments said in its weekly market commentary.
‘Consequently, volatility showed up throughout the week, while micro cap and small cap performed better,’ it said.
‘In the meantime, participants remained concentrated on re-allocation of portfolio, on the basis of sector and scrip-wise shuffle,’ it said.
BEXIMCO shares traded the most over the week with its shares worth Tk 132.80 crore changing hands.
Grameenphone, MJL Bangladesh, Lafarge Surma Cement, Beximco Pharma, BSRM Steels, Golden Son, Summit Power, Agni Systems and Tung Hai Knittign and Dyeing followed the turnover leaders’ chart.
In Tech Online gained the most as its share prices rose by 22.27 per cent, while Rangpur Dairy & Food Products, Fu Wang Food, Agni Systems, Nitol Insurance, Prime Finance First Mutual Fund, ILFSL, CVO Petrochemical Refinery, Legacy Footwear and Asia Pacific General Insurance were among other gainers of the week.
Aims First Mutual Fund was the worst loser of the week as its share prices fell by 25.40 per cent.
EBL NRB Mutual Fund, IFIC Bank 1st Mutual Fund, EXIM Bank 1st Mutual Fund, Reliance One: The first scheme of Reliance Insurance Mutual Fund, Popular Life First Mutual Fund, Far East Knitting & Dyeing Industries, Grameen Mutual One, EBL First Mutual Fund and Trust Bank First Mutual Fund followed the losers list.
-With New Age input
