Stocks slump on poor reports

Staff Correspondent | Published: 00:00, Nov 14,2019


Dhaka stocks slumped on Wednesday as investors continued offloading their holdings amid poor financial disclosures by a number of listed companies.

DSEX, the key index of Dhaka Stock Exchange, dropped by 0.87 per cent, or 42.01 points, to close at 4,737.17 points on Wednesday after losing 2.28 points in the previous session.

Before the two-day fall, the DSEX gained 103 points in four sessions.

The market started falling from the very beginning on Wednesday and descended more firmly as the session progressed with investors resuming panic sales amid poor financial disclosures by a number of listed companies, market operators said.

They said that a number of companies disclosed poor financial accounts that dampened the investors’ mood.

State-run Investment Corporation of Bangladesh declared loss of Tk 1.93 per share for the July-September period this year compared with that of Tk 0.41 per share in the same period last year.

Profits of Shahjibazar Power Company dropped to Tk 99 per share in July-September this year from Tk 1.26 per share in the same period in the previous year.

Profits of BSRM Steel plunged to Tk 0.38 per share in July-September period this year from those of Tk 1.22 per share in the previous year.

Profits of Titas Gas and Premier Cement dropped in the first quarter this year and profits of Bashundhara Paper Mills and Meghna Cement decreased in the year ended on June 30, 2019 compared with that in the previous year. Besides, a section of investors booked some profits after a four-day rise in share prices, market operators said.

They said the market gave a positive signal to investors by gaining in four straight sessions, but Wednesday’s plunge might hit the market recovery.

The country’s capital market has been declining in last nine months, shedding more than 1,200 points.

Despite the regulator’s efforts, the market could not get out from the bearish mood.

The share prices of ACI Limited dropped by 3.5 per cent on Wednesday.

ACI Limited made loss of Tk 5.99 per share for the July-September quarter of 2019.

The share prices of almost all the sectors dropped on the day.

The average share prices of non-bank financial institution fell by 3.44 per cent, textile 1.85 per cent, telecommunication 1.62 per cent and bank 0.74 per cent.

Turnover on the bourse decreased to Tk 389.95 crore on Wednesday from Tk 392.50 crore in the previous day.

Out of the 350 scrips traded on the day, 235 declined, 77 advanced and 38 remained unchanged.

Sonar Bangla Insurance led the turnover chart with its shares worth Tk 12.74 crore changing hands on the day.

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