DSE on Stocks rally


FE Report

Dhaka stocks witnessed sharp rise Sunday amid countrywide hartal enforced by twelve like-minded Islamist parties with satisfactory turnover level as investors went for buying spree amid fresh optimism.

Market analysts said recent positive market trend boosted up the investors' confidence while the revival of World Bank's Padma Bridge funding encouraged them to take further position.

The market started with flying note, gaining 180 points within five minutes and DGEN crossed 4,800-point mark which was stable upto the end amid modest ups and down and finally ended 121 points higher. 

The benchmark DSE General Index (DGEN), the main gauge of the market surged 121.50 points or 2.59 per cent from the previous session and close to 4,800.42. The benchmark index crossed 4,800-point mark after four-month since June 3.

The broader All Shares Price Index (DSI) went up by 106.35 points or 2.68 per cent to 4,067.11. The DSE-20 Index comprising blue chips shares rose 43.16 points or 1.18 per cent to close at 3,684.10.

Akter H Sannamat, managing director & chief executive officer of Union Capital said the market kept its bullish sentiment as stable money market and positive macro economic variables jacked up the investors' confidence along with the latest positive development with Padma Bridge funding.

"There is a tremendously positive impact in our national economy due to World Bank's latest stand on Padma Bridge funding which lured investors to take fresh position," said Mr Sannamat.

He also said the demand side of the stock market is rising gradually, so the securities regulator should see the supply side immediately.

"The market had a broad based rally as the investors were enthusiastic about the return of World Bank in Padma Bridge. Construction of Padma Bridge will add 1.0 per cent growth to the GDP for the next three years," commented LankaBangla Securities. 

All the sectors were in the green zone and as high as 50 scrips had more than 9.0 per cent returns. 

Among the major sectors, fuel and power gained the most 5.55 per cent, followed by banks 1.82 per cent and pharmaceuticals 1.28 per cent, telecommunications 1.10 per cent, cement 4.70 per cent and mutual funds 5.47 per cent.

General insurance, textile, and engineering sectors also gained 7.09 per cent, 5.59 per cent and 4.73 per cent.

Turnover value stood at Tk 11.05 billion, almost same compared to previous session's Tk 11.18 billion.

Out of 273 issues traded, 241 advanced, 25 declined and seven remained unchanged.

A total of 256.36 million shares changed hands against 281.33 million in the previous session. The trade deals also decreased to 223,036 against Thursday's 244,352.

The market capitalisation of the DSE stood at Tk 2,638.82 billion against Tk 2,584.35 billion in the previous session.

Titas Gas continued to top the turnover chart with shares worth Tk 670.29 million changed hands. It was followed by United Airways, BSCCL, MI Cement, BSRM Steels, Jamuna Oil, RN Spinning, National Bank, Lafarge Surma Cement and UCBL.

ICB First NRB Mutual Fund was the day's top gainer posting a rise of 10 per cent followed by IFIL Islamic Mutual Fund, Saihma Textile, Grameen One, Dhaka Insurance, Global Insurance, RN Spinning, Delta Spinners, Meghna Life Insurance and CMC Kamal.

The day's worst losers included ICB, Savar Refractories, Legacy Footwear, IFIC Bank, Information Services Network, Rahima Food, Sixth ICB, Unique Hotel and Resorts and Mutual Trust Bank.

Meanwhile, the Securities and Exchange Commission (SEC) has sent letters to the listed companies to submit information on their reconstituted boards, excluding the sponsor-directors, having less than two per cent shares individually within November 15, in line with its earlier board meeting decision.
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