Dhaka stock dropped again on Wednesday after a slight gain in the previous day as prolonged dullness at the market kept investors nervous on the trading floor.
DSEX, the prime index of Dhaka Stock Exchange, lost 0.26 per cent, or 13.02 points, to close at 4,936.37 points on Wednesday after gaining 1.75 points in the previous session.
After an upward trend at the beginning on Wednesday, the market went downward and finished in the negative trajectory as investors remained cautious on the trading floor, market operators said.
They said that the overall market scenario remained gloomy in last eight consecutive months, making the investors worried about the prospect of the market.
Therefore, the general investors along with many institutional investors hesitated to make investment decisions as the prolonged bear run curtailed their portfolios’ value, they said.
The government has recently taken a number of steps to recover the investors’ confidence in the market, but failed to change the situation so far.
The steps included BB’s move to increase fund flow to the capital market, government’s tax incentives and government’s announcement over resolving the audit claim dispute with Grameenphone.
Bangladesh Bank last week decided to lend funds to the banks at low interest rate for investing in the market.
But investors were doubtful whether the banks would take the opportunity to invest in the ailing capital market, market experts said.
They said that the market would not be stable unless governance in the listed companies could be improved and unscrupulous elements and practices could be removed from the market.
EBL Securities in its daily market commentary said, ‘Today [Wednesday], investors engaged in portfolio rebalancing ahead of the June-ending companies’ earning declarations, which lifted the market turnover by 14 per cent. However, investors remained perplexed about the market’s trend due to past few weeks’ volatile trend at the market.’
The average share prices of telecommunication sector dropped by 1.08 per cent, bank 0.71 per cent, textile 0.53 per cent and non-bank financial institution shed 0.28 per cent on Wednesday.
The share prices of GP dropped by 1.2 per cent on Wednesday, extending the losing streak to the four consecutive sessions as investors did not notice any development in the government move to settle GP’s audit claim issue, market operators said.
Turnover on the bourse inched up to Tk 346.03 crore on Wednesday from Tk 304.29 crore in the previous session.
Out of the 352 scrips traded on the day, 209 declined, 108 advanced and 37 remained unchanged.
Blue-chip index DS30 shed 0.07 per cent, or 1.24 points, to close at 1,758.50 points. DSE Shariah index DSES lost 0.34 per cent, or 3.89 points, to close at 1,136.31 points.
Bangladesh Submarine Cable Company led the turnover chart with its shares worth Tk 12.19 crore changing hands on the day.
National Tubes, Beacon Pharmaceuticals, Summit Power, Grameenphone, Eastern Cables, Monno Jute Stafflers, JMI Syringe, Standard Ceramics and Square Pharmaceuticals were the other turnover leaders.
CAPM BDBL Mutual Fund 01 gained the most on the day with a 9.41-per cent increase in its share prices while Golden Harvest Agro Industries was the worst loser, shedding 8.78 per cent.