Stocks gained for a seventh day as investors went on a buying spree to cash in on the lower price earnings ratio of individual sectors.
The benchmark general index of Dhaka Stock Exchange, DGEN, rose 48 points or 0.78 percent to 6,562.
On the port city’s bourse, the selective categories index of Chittagong Stock Exchange, CSCX, added 141 points or 1.20 percent, to close at 11,877.
The market started the day on a negative note but retraced to positive trend at 11:10am, gained 40 points.
The volume of trading hits a high at the country’s premier bourse as 20.83 crore shares and mutual funds changed hands yesterday.
The price earnings ratio of banking sector seemed very lucrative for long term investment, said a market insider.
The commission should work for increasing supply in the market to reduce gap between demand and supply, he added.
The surveillance system of the Securities and Exchange Commission is not adequate for finding all manipulations, said an asset manager.
It is a matter of concern that some low-profile shares are behaving abnormally without any price sensitive information, he added.
Indices gained for the last couple of sessions due to active participation of the small and institutional investors and an increased flow of money, said Green Delta Securities in a daily analysis.
Turnover on the DSE floor surged 4.3 percent to Tk 1,480 crore from the previous day’s turnover of Tk 1,419 crore.
The mutual funds sector was the biggest gainer, posting a 5.75 percent rise as the investors anticipated that most of the funds will declare a good corporate result. Among the top ten gainers, eight were mutual funds.
The banks added 1.05 percent, non-bank financial institutions 0.51 percent, telecoms 3.05 percent, pharmaceuticals 0.34 percent and fuel and power 0.77 percent.
Bextex topped the turnover leaders with 17.20 lakh shares worth Tk 66.29 crore traded.
Federal Insurance was the biggest gainer of the day, posting a 9.97 percent rise, while Meghna Life Insurance Company was the worst loser, slumping 27.29 percent.
-With The Daily Star input