Dhaka stocks advanced last week, the second week in a row, with an increase in the share prices of two-thirds of the traded scrips as investors bought shares to adjust their portfolios in the new year.
DSEX, the key index of Dhaka Stock Exchange, advanced by 0.93 per cent, or 58.32 points, over the week to close at 6,244.52 points on Thursday after gaining 61.73 points in the previous week.
The market started the first week of 2018 with positive momentum that sustained over the week except the last trading session, market operators said.
They said that investors continued purchasing shares with new enthusiasm after a month-long bear run due to year-end selling pressure.
Investors are expecting that the market would improve, they said.
As a result, the share prices of 231 scrips gained over the week that helped the market increase for another week.
Among the gainers, a surge in the share prices of United Power, Investment Corporation of Bangladesh and Grameenphone by 7.3 per cent, 3.9 per cent and 1.6 per cent respectively contributed most to the market uptrend, stockbrokers said.
From the sectoral point of view, the average share prices of energy, non-bank financial institutions, telecommunication and pharmaceuticals advanced by 3.6 per cent, 2.3 per cent, 1.6 per cent and 1.2 per cent respectively.
The average share prices of cement and bank, however, declined by 0.82 per cent and 0.8 per cent respectively over the week after gaining 1.5 per cent and 1.7 per cent in the previous week as investors went for taking profits against their investment in the sector.
Investors’ participation increased further over the first week of the new year as institutional investors became active to rebalance their portfolios after the year-end sales, said a stockbroker.
As a result, the daily average turnover on the bourse increased to Tk 519.13 crore last week compared with that of Tk 477.72 crore in the previous week.
‘Investors’ expectation was positive towards the market as they started taking fresh position for rebalancing their portfolios,’ said EBL Securities in a weekly market commentary.
Furthermore, the market turnover slightly improved as investors, who previously were on the sidelines, started making entry, it said.
Of the 339 companies and mutual funds traded, 231 advanced, 85 declined, and 23 remained unchanged.
DS30, the blue chip index of the DSE, gained 0.53 per cent, or 11.99 points, over the week to close at 2,295.22 points on Thursday.
Shariah index DSES advanced by 1.22 per cent, or 16.93 points, to close at 1,407 points.
United Power Generation Company led the turnover chart over the week with it shares worth Tk 124.25 crore changing hands.
Dragon Sweater, Lafarge Surma, Paramount Textiles, Islami Bank, Grameenphone, Square Pharmaceuticals, IFAD Autos, National Tubes and City Bank were the other turnover leaders.
Dragon Sweater gained the most in the week with a 22.81-per cent increase in its share prices, while Alif Industries was the worst loser, shedding 15.80 per cent.
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