Dhaka stocks remain up for 2nd day

Staff Correspondent | Published at 12:05am on September 07, 2018

Dhaka stocks gained slightly for the second session on Thursday as a section of investors continued buying shares with an expectation that the market condition would improve as a Chinese consortium joined the Dhaka Stock Exchange as its strategic investor.
DSEX, the key index of the DSE, gained 0.21 per cent, or 12.00 points, to close at 5,574.24 points on Thursday after gaining 9.43 points in the previous session.
Before the two-day gains, the key index lost 66.61 points in four sessions.
In line with the previous session, the market began on a positive note, gaining 45 minutes within one and a half hours but finished with a slight gain on late-hour selling pressure, market operators said.
They said that a section of investors went on with bargain hunting as they hoped that the market would develop after the Chinese consortium of Shenzen and Shanhai stock exchanges entered the DSE board.
The Chinese group on Tuesday became DSE’s strategic shareholder after completion of all procedures of purchasing the bourse’s 25 per cent shares.
However, the market did not overreact to the incident as it was expected, market operators said.
Besides, a section of investors expected that the market would improve ahead of the Bangladesh Securities and Exchange Commission’s 25th anniversary programme to be held in Dhaka on September 12. Prime minister Sheikh Hasina is expected to attend the event.
After declining in recent days, the share prices of banks and non-bank financial institutions advanced by 0.7 per cent and 0.6 per cent respectively on investors’ bargain hunting move on Thursday.
Besides the financial scrips, the share prices of energy and engineering sectors also increased on Thursday.
The turnover on the DSE increased slightly to Tk 817.24 crore on Thursday compared with that of Tk 811.75 crore in the previous trading session.
On the other hand, the share prices of most of the companies declined on the day as a section of institutional investors became concerned following the media report that the Anti-Corruption Commission on September 1 filed 12 more cases against 15 people, including five Investment Corporation of Bangladesh officials, for stock market scam leading to the crash of the market in 2010-11.
Market operators said a section of investors were also monitoring political situation ahead of the general elections due by January next year.
The average share prices of telecommunication, food, miscellaneous and pharmaceutical sectors dropped on Thursday.
Of the 335 companies and mutual funds traded, 136 advanced, 149 declined, and 51 remained unchanged.
DS30, the blue-chip index of the DSE, also added 0.14 per cent, or 2.91 points, to close at 1,958.53 points.
Shariah index DSES, however, shed 0.10 per cent, or 1.30 points, to finish at 1,278.66 points.
Khulna Power Company led the turnover chart with its shares worth Tk 63.72 crore changing hands.
Active Fine Chemicals, Summit Power, IFAD Autos, Nahee Aluminum, Aman Feed, Confidence Cement, Peninsula Chittagong, BBS Cables and Oimex Electrode were the other turnover leaders.
Summit Power gained the most on the day with an 8.14-per cent increase in its share prices, while Meghna Pet Industries was the worst loser, shedding 6.99 per cent.