FE Report
The turnover value at the Dhaka Stock Exchange (DSE) Wednesday crossed Tk 10 billion mark for the first time in nine months amid growing confidence and increased participation of the investors.
The turnover value of the country's prime bourse stood at Tk 10.72 billion at the end of the day's trading session. It was the highest in the last nine months since September 26, 2012, when it was recorded Tk 11.72 billion.
However, the ever highest DSE turnover was recorded Tk 32.49 billion on December 5, 2010. The DSE General Index (DGEN) highest level was 8,918.51 points on that day.
The Chittagong Stock Exchange (CSE) also witnessed Tk 2.30 billion worth of turnover Wednesday which was two and a half year high since December 8, 2010 when turnover was Tk 2.63 billion. The highest ever turnover on the port city bourse was Tk 3.40 billion recorded on October 28, 2010.
Along with high turnover, active positioning and investment of fresh funds led DGEN to cross 4,400 points of psychological level, gaining 90.59 points or 2.06 per cent to close at 4,477.08, peaked seven and a half month since October 31, 2012.
A B Mirza Azizul Isalm, former finance adviser to the caretaker government said, "It is a good sign for the market as the investors' confidence has boosted up, following the ongoing positive market trend."
"The government's budgetary measures and news on approval of creating Tk 9.0 billion capital market fund contributing the day' high turnover," he said.
"The revival of investors' confidence is a good sign for the market and it might be a sustainable one," said Mr Islam, also former chairman of the Bangladesh Securities and Exchange Commission.
However, he emphasised offloading shares of more good companies through IPO (initial public offering) to increase the market depth.
"Optimism started to ride on momentum as stock market favored news stimulated long waited investors from the very start-up of day's session," commented IDLC Investments, in its regular market analysis.
Amid the continuous modest turnover during last few sessions, news on approval of creating Tk 9.0 billion capital market fund further boosted investor's sentiment further, the investment bank said.
Finally finance minister approves the creation of capital market fund worth Tk 9.0 billion which brought the revival of last week's Bull Run along with concrete investor confidence, stated Zenith Investments.
"With turnover increasing by over 26.5 per cent, market is now flourishing with high liquidity. With such liquidity strength market's recovery is turning into a perfect one adding more optimism to the investor confidence," stated Zenith Investments.
However it's a matter of observation of how long this influence of finance minister's approval lasts. It's definitely a critical situation where this positivity might clash with the longer bearish trend, the Zenith analysis observed.
"Market saw break out as the bullish buying pressure overwhelms any bearish sell-off," stated LankaBangla Securities.
"As the market reaches higher, both profit booking and loss realization are getting higher," said the stock broker.
"Reduced political volatility, budgetary incentives, government's positive attitude towards the stock market, excesses liquidity in the money market all are put positive impact in the market," said an analyst.
"Investors are actively injecting fresh funds, expecting better return, as the market is showing stability for the last few weeks," he added.
The turnover value at the Dhaka Stock Exchange (DSE) Wednesday crossed Tk 10 billion mark for the first time in nine months amid growing confidence and increased participation of the investors.
The turnover value of the country's prime bourse stood at Tk 10.72 billion at the end of the day's trading session. It was the highest in the last nine months since September 26, 2012, when it was recorded Tk 11.72 billion.
However, the ever highest DSE turnover was recorded Tk 32.49 billion on December 5, 2010. The DSE General Index (DGEN) highest level was 8,918.51 points on that day.
The Chittagong Stock Exchange (CSE) also witnessed Tk 2.30 billion worth of turnover Wednesday which was two and a half year high since December 8, 2010 when turnover was Tk 2.63 billion. The highest ever turnover on the port city bourse was Tk 3.40 billion recorded on October 28, 2010.
Along with high turnover, active positioning and investment of fresh funds led DGEN to cross 4,400 points of psychological level, gaining 90.59 points or 2.06 per cent to close at 4,477.08, peaked seven and a half month since October 31, 2012.
A B Mirza Azizul Isalm, former finance adviser to the caretaker government said, "It is a good sign for the market as the investors' confidence has boosted up, following the ongoing positive market trend."
"The government's budgetary measures and news on approval of creating Tk 9.0 billion capital market fund contributing the day' high turnover," he said.
"The revival of investors' confidence is a good sign for the market and it might be a sustainable one," said Mr Islam, also former chairman of the Bangladesh Securities and Exchange Commission.
However, he emphasised offloading shares of more good companies through IPO (initial public offering) to increase the market depth.
"Optimism started to ride on momentum as stock market favored news stimulated long waited investors from the very start-up of day's session," commented IDLC Investments, in its regular market analysis.
Amid the continuous modest turnover during last few sessions, news on approval of creating Tk 9.0 billion capital market fund further boosted investor's sentiment further, the investment bank said.
Finally finance minister approves the creation of capital market fund worth Tk 9.0 billion which brought the revival of last week's Bull Run along with concrete investor confidence, stated Zenith Investments.
"With turnover increasing by over 26.5 per cent, market is now flourishing with high liquidity. With such liquidity strength market's recovery is turning into a perfect one adding more optimism to the investor confidence," stated Zenith Investments.
However it's a matter of observation of how long this influence of finance minister's approval lasts. It's definitely a critical situation where this positivity might clash with the longer bearish trend, the Zenith analysis observed.
"Market saw break out as the bullish buying pressure overwhelms any bearish sell-off," stated LankaBangla Securities.
"As the market reaches higher, both profit booking and loss realization are getting higher," said the stock broker.
"Reduced political volatility, budgetary incentives, government's positive attitude towards the stock market, excesses liquidity in the money market all are put positive impact in the market," said an analyst.
"Investors are actively injecting fresh funds, expecting better return, as the market is showing stability for the last few weeks," he added.
Blogger Comment
Facebook Comment