Dhaka stocks nosedive on opening amid US tariff concerns

The stock market in Bangladesh opened with a sharp fall today amid investor concerns over the US administration's decision to impose an additional tariff.

The DSEX, the benchmark index of the Dhaka Stock Exchange, dropped 30 points, or 0.58 percent, to 5,188 within the first 40 minutes of trading.

The DSES, the index of Shariah-compliant companies, fell 5 points to 1,163, while the DS30, comprising blue-chip stocks, edged down 1 point to 1,916.

Of the traded stocks, 70 advanced, 249 declined, and 46 remained unchanged.

Today is the first trading day after the weeklong Eid vacation and the imposition of tariffs by the US government on 2 April on imports from 60 countries, including Bangladesh.

The Trump administration claimed last week that Bangladesh effectively imposes a 74 percent tariff on American goods.

In response, it announced a 37 percent "discounted reciprocal tariff" on Bangladeshi products entering the US market.

According to market analysts, while the tariff may have little direct impact on the stock market, it could slow down the overall economy, which would negatively affect investor sentiment.