Dhaka stocks advanced last week, the fourth week in a row, amid a surge in share prices of most of the large capitalised scrips with the Dhaka Stock Exchange’s key index hitting its record high.
Market operators said investors kept buying shares as expectations of better market prospect ran high.
DSEX, the key index of Dhaka Stock Exchange, advanced by 1.48 per cent, or 85.21 points, over the week to close at 5,834.87 points on Thursday, the last trading day of the week.
Thursday’s closing was the DSEX’s highest since its launch in 2013. The DSEX gained 366 points in last four weeks.
In line with the previous three weeks, the market started with an upbeat trend that sustained for the whole week except Wednesday as the recent surge in share prices allured investors to inject fund, market operators said.
They said investors continued buying in another week as the better market trend along with a surge in the net portfolio investment at the DSE encouraged investors to increase their fund at the market.
The net portfolio investment at the DSE jumped over fivefold in the fiscal year 2016-17 compared to the previous year as overseas investors, anticipating positive market scenario, parked more funds in stocks, they said.
Besides, investors’ expectations of positive financial declarations from many companies fuelled the market’s bullish trend over the week, market operators said.
Grameenphone, the largest scrip in terms of market capitalisation, gained 7.3 per cent over the week.
The country’s leading mobile operator on July 13 declared 55.7 per cent growth in its earnings per share in the second quarter.
All the sectors except two gained on the day while a surge in average prices of the shares of telecommunication, bank and food scrips kept the market buoyant for another week, market operators said.
Textile shares continued to rise for the fourth consecutive week as the government lowered the corporate tax for the apparel sector to 12 per cent from the 15 per cent proposed in the national budget. The government also kept the source tax on export at 0.7 per cent for this fiscal year.
The share prices of the scrips under the sector rose by 1.02 per cent in last week.
LankaBangla Finance in its market commentary said the market was maintaining the upward momentum having passed the 5,550-points resistance level.
Investors kept up their hope as the market is going through a vibrant period, said EBL securities in its market commentary.
Due to the prolonged bullish vibe at the market, participation from the investors increased at the trading floor, it said.
The daily average turnover at the DSE increased as well by 7.05 per cent to stand at Tk 1,133.82 crore from that of Tk 1,059.11 crore in the previous week.
Of the 332 companies and mutual funds traded, 197 advanced, 116 declined and 19 remained unchanged.
DS30, the blue-chip index of the bourse, increased by 1.31 per cent, or 27.59 points, to close at 2,131.16 points on Thursday.
The Shariah index, DSES, gained 1.53 per cent, or 20.02 points, to close at 1,327 points.
Keya Cosmetics topped the turnover leaders’ chart for the third week with its shares worth Tk 334.4 crore changing hands in last week.
Bangladesh Export Import Company, Fu Wang Foods, Grameenphone, Confidence Cement, IFAD Autos, SAIF Powertec, Generation Next Fashions, Islami Bank and LankaBangla Finance were the other turnover leaders.
Like the previous week, Fu Wang Foods gained the most in last week with an 18.10-per cent rise in its share price, while Western Marine Shipyard declined the most, shedding 8.75 per cent.
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