Dhaka stocks post biggest single-day gain in 4 months

The premier bourse yesterday posted its biggest single-day rise in the last four months, as investors gained confidence thanks to the latest policies taken by the government.

The DSEX, the benchmark index of the Dhaka Stock Exchange (DSE), rose 108.15 points or 2.04 percent to 5,394.90, notching the highest single-day increase since January 8, when it went up by 115 points.

“The government’s support to the market has boosted the confidence of general investors,” said Minhaz Mannan Emon, a director of the DSE.

Besides, the Bangladesh Bank and the National Board of Revenue came up with policy support, he added.

On Thursday, Finance Minister AHM Mustafa Kamal assured investors that there would definitely be something for the capital market in the budget to be unveiled next month.

Last week, the Bangladesh Securities and Exchange Commission increased the amount of shares for general investors in case of initial public offerings, extended the lock-in period, and toughened rules for issuing placement share.

On its part, the central bank decided to re-allocate a revolving fund of Tk 856 crore to provide loans to the affected stock investors.

Emon, also the managing director of BLI Securities, said the government has proved that it was concerned about the market. “So, investors’ participation has increased.”

Turnover, another important indicator of the market, rose 12.8 percent to Tk 535.95 crore. 

A top official of a merchant bank said the turnover was mainly retail-based. He, however, hoped that institutional investors’ participation will increase too. 

Familytex (BD) was the top gainer adding 10 percent, while Standard Ceramic was the worst loser shedding 7.74 percent.

Bangladesh Shipping Corporation dominated the turnover chart with 39.48 lakh shares worth Tk 19.85 crore changing hands, followed by National Tubes, Fortune Shoes, Monno Ceramic and United Power Generation.

Chittagong stocks also rose with the bourse’s benchmark index, CSCX, advancing 204.90 points, or 2.09 percent, to finish at 9,988.40.

Gainers beat losers as 217 securities advanced, 32 declined while 10 finished unchanged on the Chittagong Stock Exchange. 

The port city bourse traded 1.02 crore shares and mutual fund units worth Tk 32.50 crore.