Stocks buck losing trend

Stocks bucked the losing trend last week after Prime Minister Sheikh Hasina stepped in to stabilise the market.
Hasina called an emergency meeting with stakeholders at Gono Bhaban on Wednesday night to boost investors' confidence.
The government took long- and short-term steps to prop up the market and compensate those who lost money to downswings.
The government also decided not to question the source of undisclosed money to be invested in stocks. Commercial banks also agreed to make fresh investments in the market.
The week witnessed five trading sessions: First three sessions declined sharply, losing 560 points or 11 percent. But the market gained 567 points in the week's last two sessions.
The benchmark General Index, DGEN, the gauge of prime bourse shed 42.01 points or 0.81 percent to close at 5,166.96 points in the last week.
The DGEN sank below the 5,000-point mark and hit nearly two-year low on Monday, as investors began to sell off shares out of panic, fearing a further debacle in the stockmarket.
In another development, the government and the Securities and Exchange Commission (SEC) are working to take some steps.
Helal Uddin Nizami, member of SEC, said the government was serious about the need to stabilise the market as early as possible.
“We are working hard to finalise some measures to boost the investors' confidence,” said Nizami.
The steps include waiver of margin loan interests, deferment of deadline for loan repayment and withdrawal of 10 percent tax on the profit from sharemarket investment by expatriate Bangladeshis.
The National Board of Revenue (NBR) will also lift 10 percent tax on the profit of institutional investors from the secondary market.
The measures were decided at the meeting of Finance Minister AMA Muhith with SEC, Bangladesh Bank and NBR at the minister's Secretariat office on Friday.
“The highest authority's concern about the market has caused a positive turn in the market,” said Prof Mahmood Osman Imam, who teaches finance at Dhaka University.
Investors are waiting for the government measures of waiving interests of margin loans, he said, adding that sponsors or directors should go for long-term investments for the development of the market.