Dhaka stocks remained positive for the second week in last week with bigger turnover as investors increased their participation amid optimism about development on the political front.
Before the two weeks of rise, the market passed four weeks in the red.
Market operators said investors remained upbeat in last week as the main opposition party announced that it would not go for tough action against the government demanding non-party polls-time government at this moment.
The benchmark general index of Dhaka Stock Exchange, DSEX, increased to 4,125.27 points, advancing by 3.56 per cent or 141.80 points.
DS30, the blue-chip index of the bourse, increased by 3.05 per cent, or 46.14 points, to finish at 1,561.09 points.
The market operators said signing of a memorandum of understanding between Bangladesh Bank, Bangladesh Securities and Exchange Commission and Investment Corporation of Bangladesh on release of fund of Tk 900 crore under the refinance scheme on Thursday also made the investors hopeful.
The DSEX and the DS30 had declined by 403.86 points and 186.17 points in the previous four weeks on fears of political instability.
The daily average turnover of the DSE increased to Tk 586.64 crore, 110.33 per cent up from the previous week’s Tk 278.91 crore.
The market operators said the week started positive as the Bangladesh Nationalist Party declared that the party would not go for tough action like general strike at the moment.
The announcement eased the tension among the investors, they said.
They said the investors had increased their participation on the trading floor after the opposition party’s declaration.
Stocks declined on Wednesday on profit-taking move after a six-day increase, they said.
The market, however, gained on Thursday as BB, BSEC and ICB on the day signed an MoU on release of the refinance scheme fund of Tk 900 crore for small-scale investors affected by the stock market crash in 2010 today, they said.
‘Apparent ease in political frontier coupled with series of positive economic news facilitated the market to keep on and accelerate over the last week’s gain, amid natural corrections and profit taking. The overall positive vibe attracted some fresh positioning as well as repositioning,’ IDLC Investments said in its daily market commentary.
Of the 295 shares and mutual funds traded on the day, 206 advanced, 72 declined, and 17 remained unchanged.
Bangladesh Submarine Cable Company led the turnover leaders with its shares worth Tk 190.14 crore changing hands.
Padma Oil, Meghna Petroleum, Grameenphone, Square Pharma, Olympic Industries, Titas Gas, United Airways, Active Fine Chemicals and RN Spinning Mills were also among the turnover leaders.
Rangpur Foundry gained the most as its share price increased by 35.44 per cent, while Sixth ICB Mutual Fund lost the most on the week as its unite price declined by 29.86 per cent.
-With New Age input
