Stocks get off to a bullish start

Dhaka stocks started the week on a positive note, led by non-bank financial institutions (NBFIs) and insurers.
The benchmark index of Dhaka Stock Exchange, DSE General Index (DGEN), rose by 17.62 points, or 0.69 percent, to 2,570.58. The DSE All Share Price Index gained by 13.83 points, or 0.65 percent, to 2,139.03.
There was an initial spike in the DGEN when it gained about 16 points in the first 20 minutes of trade. The sharp rise was largely due to increases in the NBFIs and insurance companies.
The sectors were also the better performers among all sectors last week. These companies traded close to their day-high level around the mid-session.
“Prices of shares in these sectors were rising on speculation that corporate tax for NBFIs would be reduced in the upcoming budget,” said Abul Ahsan Ahmed, assistant manager of the merchant banking division of IDLC.
If the corporate tax for NBFIs is reduced by at least by 5-percentage points, it will leave an impact on the companies profitability, he explained.
Larger sectors such as banks, pharmaceuticals and fuel and power did not move much.
The advancers beat the losers 141 to 99. Eight securities remained unchanged.
A total of 2,98,32,720 shares worth Tk 575.74 crore changed hands on the premier bourse.
Beximco topped the turnover leaders, with 27,30,200 shares worth Tk 87.10 crore being traded, followed by Summit Power, Beximco Pharma, LankaBangla Finance, LankaBangla Finance, Summit Alliance Port, Titas Gas, Bextex, Eastern Housing, S Alam Cold Rolled Steels and Union Capital.
Chittagong stocks also posted gains yesterday. The CSE Selective Categories Index rose by 34.29 points, or 0.63 percent, to 5,467.66. The CSE All Share Index also increased by 48.8 points, or 0.58 percent, to 8,433.8.
A total of 32,43,686 shares worth Tk 47.87 crore changed hands on the port city bourse. Of the traded scrips, 80 advanced, 75 declined and four remained unchanged.
LankaBangla Finance topped the turnover leaders, with 1,51,500 shares worth Tk 3.35 crore being traded. Other turnover leaders were AB Bank, Summit Power, Eastern Housing, Meghna Petroleum, Union Capital, Titas Gas, S Alam Cold Rolled Steels, Summit Alliance Port and Square Pharma.