Stocks continue to remain depressed

Stocks returned to the red yesterday as institutional investors remained inactive in the market.
Although the benchmark General Index of Dhaka Stock Exchange gained 143 points in the first hour of trading, it ended the at red after falling 12.35 points to 4,287 points.
Market analysts said institutional investors adopted a wait-and-see approach to sense the market pulse, while most small investors remained inactive due to credit crisis.
“Initial enthusiasm over SEC winning the case evaporated quickly due to market participants experiencing liquidity crisis,” said LankaBangla Securities in its market commentary.
The Securities and Exchange Commission won the legal battle on Thursday as the court rejected five writ petitions filed by 24 sponsors and directors of five listed firms challenging the legality of Section 2CC of SEC Ordinance, 1969.
“It seemed that investors were pessimistic about the market outlook and preferred liquidity,” said IDLC Investments in its market analysis.
Turnover stood at Tk 173 crore, a 46.6 percent rise from the previous day.
A total of 0.74 lakh trades were executed, with 4.23 crore shares and mutual fund units changing hands on the Dhaka bourse.
Of the 267 issues traded at the DSE, 81 advanced, 158 declined and 28 remained unchanged.
Most of the major sectors were down, while non-bank financial institutions gained 0.01 percent.
Pharma lost 0.61 percent, followed by power 0.38 percent, banks 0.28 percent and telecommunications 0.05 percent.
Saiham Cotton Mills topped the turnover chart with 50.90 lakh shares worth Tk 11.57 crore, followed by Bangladesh Submarine Cable Company and Lafarge Surma Cement.
Desh Garments featured in the top ten gainers' chart with its 9.48 percent gain, while Northern Jute Manufacturing Company was the worst loser, slumping by 9.74 percent.