Dhaka stocks rebounded on Wednesday with the key index topping 6,000 points again after a two-day fall as investors went for buying shares, especially those of Grameenphone, British American Tobacco and banks, digesting better financial declarations and expecting such results from other companies.
DSEX, the key index of Dhaka Stock Exchange, increased by 0.56 per cent, or 33.50 points, to finish at 6,001.52 points after losing 73 points in the previous two sessions.
The core index topped 6,000 points within half an hour of the session and bullishness prevailed until the end of the session as investors moved on to fresh investments, market operators said.
They said that the market came back to its previous bullish mood amid better earnings- and dividend-centric expectations.
The surge in share prices of Grameenphone by 1.23 per cent helped the market most to go up.
The mobile operator earned Tk 700 crore during the July- September, 2017 period that pulled in huge investments on the company’s shares extending its gaining streak to the fifth consecutive session. The share prices of the company soared by Tk 25 in the last five sessions.
Besides, British American Tobacco also surged by 3.83 per cent on the day as the company scheduled for October 30 a board meeting regarding it third-quarter financial disclosures.
The share prices of IFAD Autos also rose as the company declared 26 per cent dividend with a surge in earnings by 100 per cent for the year 2017.
Moreover, investors turned their focus to banks with an expectation of better earnings declaration for the third quarter.
Uttara Bank declared better earnings in the third quarter compared with that in the same period last year and a number of banks would announce their earnings by October 30.
As a result, banks advanced by 1.11 per cent with holding 30 per cent of the day’s turnover.
Out of the 30 traded bank scrips, 22 advanced, five declined and three remained unchanged on the day.
Besides banks, the share prices of food, telecommunications and textiles also surged by 2.4 per cent, 1.4 per cent and 0.9 per cent respectively.
On the other hand, pharmaceuticals, non-bank financial institutions and cement declined by 0.4 per cent, 0.3 per cent and 0.2 per cent respectively.
Of the 333 companies and mutual funds traded, 110 declined, 173 advanced and 48 remained unchanged.
Stockbrokers said many investors still remained on the sidelines to observe the market as the market went through a downward period recently.
Turnover on the bourse increased to Tk 582.83 crore compared with that of Tk 536.07 crore in the previous trading session.
‘The market opened higher and the upbeat note sustained till the end of the today’s [Wednesday] session over optimistic behaviour of investors towards the market,’ said EBL Securities at its daily market commentary.
DS30, the blue-chip index of the DSE, shed 0.39 per cent, or 8.67 points, to close at 2,181.88 points.
Shariah index DSES lost 0.17 per cent, or 2.30 points, to close at 1,323.89 points on Wednesday.
BBS Cables led the turnover chart with its shares worth Tk 32.81 crore changing hands.
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