Stocks end 4-day losing streak on bargain hunting

Staff Correspondent | Published: 00:05, Apr 17,2018 | Updated: 00:18, Apr 17,2018


Dhaka stocks on Monday gained marginally, snapping a four-day bear run, as investors went for bargain hunting share purchases
The key index of Dhaka Stock Exchange, DSEX, gained 0.19 per cent, or 11.06 points, to close at 5,784.67 points on Monday after losing 105 points in the previous four trading sessions.
Trading on the bourse began in downtrend, in line with the previous four sessions, as some of the general investors kept selling shares amid lack of activity by the institutional investors, said market operators.
The market started to rebound after three hours of trading and the DSEX closed at positive territory in last one and half hours of bargain hunting purchases of institutional investors, they said.
The DSEX, which had gained 390 points in eight trading sessions, beginning from March 28 following the government announcement of a number of measures to increase money supply in the financial market, faced a profit taking correction in the previous four consecutive sessions.
‘Institutional investors mostly slowed their trading activities in last four trading sessions. Together with early downtrend today [Monday], they saw an opportunity to buy shares at cheaper prices and went for bargain hunting,’ said a stockbroker.
‘The capital bourse of the country closed marginally higher today as last hour buying pressure lifted the index from a downhill. The market started with negative vibe but opportunistic investors started taking position on the undervalued stocks,’ said EBL Securities in its daily market commentary on Monday.
Average share prices of engineering, energy, cement and non-bank financial institution sectors increased by 1.18 per cent, 0.45 per cent, 0.41 per cent and 0.40 per cent respectively that helped the market to rebound on the day.
Among the large capitalised scrips, share prices of Bangladesh Export Import Company, United Power Generation Company, and IFAD Autos were the highest gainer of the day.
Share prices of food, bank and telecommunication sectors declined 0.5 per cent, 0.42 per cent and 0.04 per cent respectively.
The turnover at the bourse increased to Tk 515.62 crore on Monday compared with that of Tk 412.25 crore in the previous session.
Of the 335 companies and mutual funds traded on the day, 120 declined, 165 advanced, and 55 remained unchanged.
DS30, the blue-chip index of the DSE, also added 0.14 per cent, or 3.15 points, to finish at 2,179.08 points.
Shariah index DSES, also added 0.22 per cent, or 3.06 points, to close at 1,353.65 points.
Bangladesh Export Import Company led the turnover chart on the day with its shares worth Tk 43.56 crore changing hands.
BRAC Bank, Advent Pharmaceuticals, Mercantile Bank, LafargeHolcim Bangladesh, National Tea Company, Sonali Aansh, Usmania Glass Sheet Factory, Popular Life Insurance and IFAD Autos were the other turnover leaders.
Sonali Aansh Industries gained the most with an 8.73-per cent increase in its share prices, while Advent Pharmaceuticals was the worst loser, shedding 8.05 per cent. 

More about:

Want stories like this in your inbox?

Sign up to exclusive daily email