Stocks continue to drop for third day
Stocks in Bangladesh continued to drop for a third consecutive day yesterday while turnover remained below Tk 450 crore as most investors are not pouring money into stocks.
The DSEX, the benchmark index of the premier bourse in Bangladesh, was down 5 points, or 0.08 per cent, from that on the previous day to close the day at 6,196.
The DS30, the blue-chip index, dropped 0.07 per cent to 2,198 and the DSES, the Shariah-compliant index, fell 0.14 per cent to 1,342.
Of the traded securities, 34 advanced, 78 declined and 183 did not show any price movement.
Market movement yesterday was driven by negative changes in the market cap of travel and leisure, paper and printing, and jute scrips amidst positive changes in the market cap of life insurance, services and real estate and bank scrips, according to the daily market review of Shanta Securities.
Turnover, an important indicator of the market, fell around 6 per cent from that on the day before to Tk 442 crore.
Prime Islami Life Insurance increased 9.96 per cent followed by Pragati Life Insurance that rose 7.9 per cent, Midland Bank up 6.97 per cent and Meghna Life Insurance gained 4.07 per cent.
After the first hour the apprehensive investors went for selling off their holdings while some investors adopted a "wait-and-see" stance ahead of Eid festivals.
Al-Haj Textile Mills topped the list of losers by shedding more than 9.99 per cent. Legacy Footwear, Orion Infusion, Gemini Sea Food, and Samata Leather Complex suffered substantial losses as well.
Aamra Networks was the most-traded stock on the day with its shares worth Tk 29 crore transacted. Olympic Industries, Apex Footwear, Eastern Housing, and Gemini Sea Food followed suit.
The Dhaka stocks observed another downbeat session amid volatile trading. The market started with a marginal gain but after the first hour the apprehensive investors went for selling off their holdings while some investors adopted a "wait-and-see" stance ahead of Eid festivals, said International Leasing Securities in its daily market review.
The optimistic investors' move to uplift the index failed as the sale pressures in IT, paper, travel and jute sectors pushed down the market in latter part of the session.
The investors' attention was mostly centered on food (accounting for 19.1 per cent of the turnover), IT (17.3 per cent) and life insurance (8.9 per cent) sectors.
The stocks on Chittagong Stock Exchange also dropped yesterday. The Caspi, the all-share price index of the bourse in the port city, edged down 18 points, or 0.10 per cent, to close at 18,279.
Of the issues, 22 rose, 46 retreated and 63 did not see any price movement. Turnover rose 102 per cent to Tk 10 crore.