Stocks gain on bargain hunting

Staff Correspondent | Published: 00:00, Nov 04,2019


Dhaka stocks gained on Sunday as a section of investors went for bargain hunting while many others remained cautious fearing further losses.

The key index of Dhaka Stock Exchange, DSEX, gained 0.62 per cent, or 29.18 points, to close at 4,712.08 points on Sunday after losing 0.30 points in the previous day.

The market started rising from the very beginning on Sunday and maintained the vibe until the end of the session as investors went for bargain hunting, market operators said.

They said share prices of most of the scrips decreased significantly in the recent rout that might encourage investors to buy those shares.

They said that a section of institutional investors came forward to revive the market.

Investors’ participation was very poor on the day as most of them hesitated to invest in the market amid prolonged downward trend.

The DSEX lost 1,240 points in last nine months with the bourse’s market capitalisation declining by around Tk 64,200 crore.

Besides, a number of companies declared poor earnings and dividends that worsened the situation.

Around 20 listed companies declared no dividend for the year ending June 30, 2019 that dampened investors’ mood.

Share prices of Grameenphone dropped in last six days as investors saw no hope of an immediate solution to the mobile operator’s audit claim dispute with the Bangladesh Telecommunication and Regulatory Commission.

Share prices of GP declined by 0.15 per cent on Sunday.

The average share prices of bank sector increased by 0.56 per cent as most of the banks made profits in nine months (January-September) in 2019 compared with that in the same period of the previous year.

Share prices of textile, non-bank financial institution and pharmaceutical sectors also rose on the day.

Turnover on the DSE dropped to Tk 325.97 crore on Sunday from Tk 405.43 crore in the previous day.

Share prices of large capitalised companies like Square Pharmaceuticals, BRAC Bank and United Power Generation Company increased on Sunday that contributed most to keeping the market afloat.

Out of the 353 scrips traded on the day, 190 advanced, 123 declined while 39 remained unchanged.

DSE blue-chip index DS30 added 0.65 per cent, or 10.60 points, to close at 1,083.17 points.

Shariah index DSES gained 0.71 per cent, or 7.69 points, to end at 1,083.17 points.

National Tubes led the turnover chart with its shares worth Tk 19.08 crore changing hands on the day.

Northern Jute, Sonar Bangla Insurance, Shurwid Industries, Stylecraft, Fortune Shoes, VFS Thread Dyeing, Pharma Aid, Monno Jute Stafflers and Premier Bank were the other turnover leaders.

Mozaffar Hossain Spinning Mills gained the most on the day with a 12.67-per cent increase in its share prices while Golden Harvest Agro Industries performed the worst, losing 17.24 per cent.

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