No breakthrough at market revamp meet, stocks continue fall
The stockmarket regulator's meeting with the stakeholders ended with no new breakthrough yesterday, although it began with high notes to find out ways to rejuvenate the bearish market.
Stocks plunged by 0.26 percent yesterday and more than 3 percent on Sunday, maintaining the recent falling trend in share prices.
The only thing the discussants agreed that “a coordinated effort” is needed to stabilise the market -- a common dialogue that the Securities and Exchange Commission (SEC) and the market stakeholders said on many occasions.
“We discussed the present downward trend with the stakeholders and tried to identify the reasons behind the bearish trend,” Prof M Khairul Hossain, chairman of the SEC, told journalists after the meeting at the SEC office in Dhaka.
“All parties related with the stockmarket want to see stability in the market, and we will take necessary steps to do it,” Hossain said.
The bourses, merchant banks, asset managers, stockbrokers, dealers and bank brokerage houses also took part in the discussion.
Most of the participants said the stockmarket is passing through a crisis due to a lack of confidence among the investors and liquidity crunch.
Every stakeholder will have to take measures from their own position to rejuvenate the market, they said.
“The commission has received some advices from the stakeholders and it will take steps accordingly,” said Saifur Rahman, the spokesman of the SEC.
Sheikh Mortuza Ahmed, president of Bangladesh Merchant Bankers' Association, said two issues were highlighted in the meeting -- a lack of confidence and liquidity crunch.
The key index of Dhaka Stock Exchange (DGEN) came down to 5,518 points after falling by 14 points yesterday.
A total of 81,847 transactions took place yesterday, generating a turnover of Tk 255 crore, a 30 percent fall from the previous day. Of the total 255 issues traded, 103 advanced, 136 declined and 15 remained unchanged.
The Chittagong Stock Exchange also declined yesterday with the Selective Categories Index, CSCX, going down 50 points or 0.5 percent, to end at 9,942.
Comments