Stocks emerges out of losing streak


The country’s last week stock market has emerged out of a straight four-week losing streak. Market analysts said share market rallied in the past week amid bargain hunting by investors, who found share prices lucrative at both the bourses following price correction.
They said most of the investors showed their buying spree on large-cap securities including in engineering, food, power, financial institutions and pharma sectors.

Finance Minister AHM Mustafa Kamal on Thursday told the journalists after a meeting with the Dhaka Stock Exchange Board of Directors and the higher authority of Bangladesh Securities and Exchange Commission (BSEC), that “The government is going to take tougher actions against the capital market manipulators and rumor mongers as it is passing through a critical time for ongoing bearish trend.” The minister instructed the stock market regulator to strictly implement the rules and regulations to control rumours and to bring back confidence of investors.

DSEX, the prime index of the DSE increased by 40.45 points or 0.92 percent to close at 4,459 last week over the previous week after losing 312 points in the past straight four weeks.
In 2019, the capital market witnessed a bearish trend and went down by 933 points since the market disaster in 2010-2011, amid confidence crisis.
Meanwhile, the comprising blue chips index (DS30) rose by 2.83 points during the week to settle at 1,505 on Thursday and Shariah index (DSES) increased 14.51 points to finish at 1,009 in span of a week.
The daily average turnover increased by 21 percent to 3.25 billion during the week from 2.69 billion in the previous week. Besides, the total turnover rose on the DSE amounting to Tk13.02 billion against Tk10.79 billion in the week before.
The gainers beat over the losers as out of 356 issues traded during the last week, 232 closed higher, 86 ended lower and 38 remained unchanged on the DSE floor.

The market cap has increased by 0.68 percent to Tk 3,408 billion on Thursday against Tk 3,384 billion on first working day of the week. Khulna Power Company dominated the turnover chart on the DSE’s floor with 12.17 million shares worth Tk 585 million changing hands. 

It was followed by Standard Ceramic Industries, BRAC Bank, Square Pharmaceuticals and Beacon Pharmaceuticals. Oimex Electrode was the week's best performer, posting a gain of 19.07 percent while Appollo Ispat was the worst loser, shedding 10 percent.
Meanwhile, the Chittagong Stock Exchange (CSE) also saw positive trend during the last week with its selective category index (CSCX) gaining 45 points to close at 8,208 points. On the other hand, the all share price index of the CSE (CASPI) was higher by almost 80 points during the week to close at 13,544 points.