Stocks extend gaining streak to 4th day

Staff Correspondent | Published: 00:00, Nov 12,2019 | Updated: 22:43, Nov 11,2019


Dhaka stocks gained marginally on Monday to extend the gaining streak to the fourth day as a section of investors continued buying undervalued shares while some others went for profit taking.

DSEX, the key index of Dhaka Stock Exchange, increased by 0.20 per cent, or 9.55 points, to close at 4,781.47 points on Monday. The DSEX added 103 points in last four sessions.

After an upbeat beginning on Monday, the market moved downwards as some investors went for profit taking, but late hour buying pressure kept the index afloat, market operators said.

They said that investors were active on both sides of the trading fence, focusing on the financial declarations by the listed companies.

They said that some investors, especially the institutional ones, continued bottom fishing to maximise their gains.

The key index lost more than 1,200 points in last nine months due mainly to volatility in the financial sector, influx of initial public offerings of weak companies and lack of confidence of investors in the regulators.

However, the market started showing positive movement in last four sessions that prompted some institutional investors to inject funds in cheaper stocks to get good returns.

The average share prices of non-bank financial institution sector advanced by 2.53 per cent, general insurance by 1.25 per cent and bank by 0.85 per cent.

The share prices of most of the companies declined and the turnover was poor as many investors still remained worried about the market trend.

Poor financial declarations by some companies also dampened the investors’ mood.

The average share prices of cement, food and miscellaneous sectors dropped by 0.47 per cent, 0.24 per cent and 0.14 per cent respectively.

EBL Securities in its daily market commentary said, ‘Investors’ participation seemed to be agile at the beginning of the session but became dull in the second half of the session.’

Turnover on the bourse declined to Tk 296.63 crore on Monday from Tk 367.09 crore in the previous day as many investors preferred to be on the sidelines to observe the market movement.

Out of the 350 scrips traded on the day, 135 advanced, 149 declined and 47 remained unchanged.

The DSE blue-chip index, DS30, gained 0.38 per cent, or 6.44 points, to close at 1,664.35 points.

Shariah index DSES added 0.11 per cent, or 1.24 points, to end at 1,090.81 points.

National Tubes led the turnover chart with its shares worth Tk 12.14 crore changing hands on the day.

Sonar Bangla Insurance, Genex Infosys, Uttara Bank, Fortune Shoes, Square Pharmaceuticals, Khulna Power Company, Bangas, Shurwid Industriues and Rupali Life Insurance were the other turnover leaders.

National Feed Mills gained the most on the day with an 8.86-per cent increase in its share prices while Genex Infosys performed the worst, losing 8.13 per cent.

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