Dhaka stocks returned to positive zone on Monday amid thin trading after the World Bank on the day announced to send two visiting teams by October to review financing the Padma bridge project.
DGEN, the benchmark general index of Dhaka Stock Exchange, gained 0.98 per cent or 44.93 points, to close at 4,589.33 points. The DGEN lost 137.78 points on Sunday which was followed by two other losing sessions.
Turnover of the bourse remained flat at Tk 783.53 crore on the day from that of Tk 782.04 crore in the day before.
Market operators said some investors went for sell-offs on the opening of Sunday’s trading hour fearing uncertainty about $ 1.2 billion World Bank loan for the Padma bridge project.
Some investors went for bargain hunting after the WB on the day announced that two of its teams will visit Bangladesh to review the project this month as the bank envoy missed its schedule of Monday, they said.
‘Majority of the investors are still sceptical about the future of the market after the WB loan faced fresh uncertainty, but some investors went for buying shares at cheap prices following yesterdays plunge,’ said a stockbroker on Monday.
He said the WB loan issue has apparently nothing to do with the stock market at this moment but the psychological impact of it on the overall economy moved the market.
‘Even a section of large-scale investors spread rumour about the WB loan issue for their own profit,’ he said.
He said the investors were optimistic in the last few weeks mainly due to the increasing turnover, but in the last few days the turnover is shrinking.
‘It indicates that the institutional investors might take a wait-and-see policy due to the fresh complexity over Padma bridge funding, which also refrained the retail investors,’ he said.
The WB country director for Bangladesh, Ellen Goldstein, in a statement on Monday assured to send two teams one day after the postponement of the visit to Dhaka by the bank’s team.
Eelier on June 29, the WB cancelled funding for the bridge with on allegation of corruption in the project which they agreed to reconsider last month upon fulfilment of some conditions.
All the major sectors gained marginally on Monday except power that lost 0.81 per cent.
The bourse’s most weighted sector, banks, gained the most by 1.87 per cent, followed by telecommunications that gained 1.37 per cent.
Non-bank financial institutions gained 0.61 per vent while pharmaceuticals gained 0.25 per cent on the day.
Of the total traded 274 issues, 215 advanced, 53 declined and six remained unchanged.
-With New Age input
