Stocks extend rally as trading resumes after Eid holidays

Staff Correspondent | Published: 18:10, Jul 25,2021 | Updated: 22:50, Jul 25,2021


Dhaka stocks gained for the sixth consecutive session on Sunday with the key index hitting a new high as investors continued buying shares.

Trading resumed on Sunday after remaining shut since July 20 on the occasion of Eid-ul-Azha. Eid-ul-Azha, one of the biggest religious festivals of the Muslims, was celebrated on July 21 across the country.

However, trading on the DSE started with a 10:00am-1:00pm schedule instead of usual 10:00am-2:30pm schedule due to the 14-day strict Covid restrictions the government has been enforcing since July 23.

DSEX, the key index of the Dhaka Stock Exchange, increased by 0.29 per cent, or 19.17 points, to close at 6,424.21 points on Sunday. The DSEX gained 215.8 points in the last six sessions.

In 2013, the bourse launched the index under a Standard and Poor’s-developed free-float methodology with a view to replacing the then key index of the bourse, DGEN. The DGEN was at 4,171.41 points when the DSEX was launched in 2013.

The market remained mostly positive throughout Sunday session as investors kept buying shares, especially those of cement, bank and pharmaceutical companies.

Despite a fall in share prices of two-thirds of companies, the market remained afloat as share prices of a number of large capitalised companies soared on Sunday.

Of the 374 scrips traded on the DSE on Sunday, 116 advanced, 237 declined and 22 remained unchanged.

Among the large capitalised companies, a surge in share prices of British American Tobacco, Beacon Pharmaceuticals, Beximco Pharmaceuticals and GPH Ispat added 27 points to the DSEX.

Average share prices of food, bank and pharmaceutical sectors advanced by 2.7 per cent, 0.8 per cent and 0.4 per cent respectively.

EBL Securities in its daily market commentary said, ‘The DSEX in the shortened trading window amidst a fresh lockdown reached an all-time high on Sunday. The investors’ sentiment was positive towards the bourse, while a section of the investors opted for portfolio rebalancing strategy ahead of the June closing year-end declaration.’

Baraka Patenga Power, which made its debut on July 15, hit the upper limit of the circuit breaker for the fourth trading day to close at Tk 42.3 on Sunday.

Average share prices of textile, non-bank financial institution and general insurance sectors dropped by 2.5 per cent, 1.6 per cent and 0.8 per cent respectively.

DS30, a composition of 30 large capitalised companies, added 0.6 per cent, or 14.09 points, to close at 2,336.47 points on Sunday.

The DS30 index also hit an all-time high on the day.

Shariah index DSES gained 0.43 per cent, or 6.08 points, to settle at 1,393.84 points.

Turnover on the DSE increased to Tk 1,354.7 crore on Sunday from Tk 1,264.5 crore in the previous session.

Saif Powertec led the turnover chart with shares worth Tk 68.25 crore changing hands on the day.

British American Tobacco Company, BEXIMCO, BD Finance, Fu-Wang Ceramics, Active Fine Chemicals, GPH Ispat, GBB Power, IFIC Bank and LafargeHolcim Bangladesh were the other turnover leaders on the day.

Want stories like this in your inbox?

Sign up to exclusive daily email