FE Report
The market ended lower Thursday, breaking fifth sessions' rally with turnover dropped substantially as market faced correction amid profit-taking by investors.
Meanwhile, duration of trading hours came down to three hours instead of four as Ramadan started from Thursday.
The General Index of the Dhaka Stock Exchange (DGEN) ended at 4,684.47points, losing 86.01 points or 1.80 per cent as the market faced correction in a fully fledged way drifting from the rising track.
The others two indices also ended red ---- the free float based index DSEX went down by 82.52 points or 1.89 per cent to close at 4,262.93 while the blue chip index DS30 lost 23.29 points or 1.41 per cent to close at 1,620.17 points.
The total turnover on DSE came down to Tk 7.30 billion, which was 29.8 per cent lower over the previous session's value of Tk 10.40 billion.
The losers took a strong lead over the gainers as out of 283 issues traded, 222 declined, 47 advanced and 14 remained unchanged in the primer bourse.
"A pending natural correction got the start up after first hour of trading which eventually turned to 'panic' to kick off some modest gain of last few sessions," commented IDLC Investments, in its daily market analysis.
Consequently, both DGEN and DSEX ended red after losing 86.01 and 82.52 points, respectively. In addition, volatility increased due to the increased swing in the market level evidenced by a higher range in both of the indices, the merchant bank said.
In fact, last four sessions' fluent participation with average turnover of Tk 10.46 billion made a split Thursday due to lack of fresh positioning, the merchant bank added.
"Thursday's correction came after a week long delay and it was a natural one. There is nothing to be panicked about this. Investor's resilient observation and behavior was reflected through the turnover and sectoral movement," stated Zenith Investments.
"Concentration over fuel and power sector reduced slightly. This correction might continue till the early next week. And if turnover breaks the boundary, then it would be a matter of time that market bounces back strongly," observed the Zenith analysis.
"Overall turnover declined by 29.8 per cent, indicating sellers are still waiting for the trend confirmation," stated LankaBangla Securities.
Heavily trade large capitalized stocks has showed missed trend with some of them gaining while others seeing correction pull, the stock broker said.
Trading P/E of the market stands at 15.3 time. "Relatively calmness in the political arena during these days and sufficient liquidity in the money market generate return for the last few days," the stock broker added.
All the sectors were down Thursday except Life Insurance and pharmaceuticals which gained 0.21 per cent and 0.12 per cent respectively.
Among the major sectors, NBFIs lost 3.43 per cent the most with 18 of its issues out of 20 ending in red.
Fuel and power and banks lost 1.90 per cent and 1.54 per cent respectively. Telecommunications, which posted sharp gains in the last two sessions, was down by 1.68 per cent.
Activities decreased further in the prime bourse. A total of 0.149 million trades were executed with 118.54 million securities of trading volume.
The market capitalization of the DSE stood at Tk 2,662.41 billion against Tk 2,702.33 billion in the previous trading session.
The market ended lower Thursday, breaking fifth sessions' rally with turnover dropped substantially as market faced correction amid profit-taking by investors.
Meanwhile, duration of trading hours came down to three hours instead of four as Ramadan started from Thursday.
The General Index of the Dhaka Stock Exchange (DGEN) ended at 4,684.47points, losing 86.01 points or 1.80 per cent as the market faced correction in a fully fledged way drifting from the rising track.
The others two indices also ended red ---- the free float based index DSEX went down by 82.52 points or 1.89 per cent to close at 4,262.93 while the blue chip index DS30 lost 23.29 points or 1.41 per cent to close at 1,620.17 points.
The total turnover on DSE came down to Tk 7.30 billion, which was 29.8 per cent lower over the previous session's value of Tk 10.40 billion.
The losers took a strong lead over the gainers as out of 283 issues traded, 222 declined, 47 advanced and 14 remained unchanged in the primer bourse.
"A pending natural correction got the start up after first hour of trading which eventually turned to 'panic' to kick off some modest gain of last few sessions," commented IDLC Investments, in its daily market analysis.
Consequently, both DGEN and DSEX ended red after losing 86.01 and 82.52 points, respectively. In addition, volatility increased due to the increased swing in the market level evidenced by a higher range in both of the indices, the merchant bank said.
In fact, last four sessions' fluent participation with average turnover of Tk 10.46 billion made a split Thursday due to lack of fresh positioning, the merchant bank added.
"Thursday's correction came after a week long delay and it was a natural one. There is nothing to be panicked about this. Investor's resilient observation and behavior was reflected through the turnover and sectoral movement," stated Zenith Investments.
"Concentration over fuel and power sector reduced slightly. This correction might continue till the early next week. And if turnover breaks the boundary, then it would be a matter of time that market bounces back strongly," observed the Zenith analysis.
"Overall turnover declined by 29.8 per cent, indicating sellers are still waiting for the trend confirmation," stated LankaBangla Securities.
Heavily trade large capitalized stocks has showed missed trend with some of them gaining while others seeing correction pull, the stock broker said.
Trading P/E of the market stands at 15.3 time. "Relatively calmness in the political arena during these days and sufficient liquidity in the money market generate return for the last few days," the stock broker added.
All the sectors were down Thursday except Life Insurance and pharmaceuticals which gained 0.21 per cent and 0.12 per cent respectively.
Among the major sectors, NBFIs lost 3.43 per cent the most with 18 of its issues out of 20 ending in red.
Fuel and power and banks lost 1.90 per cent and 1.54 per cent respectively. Telecommunications, which posted sharp gains in the last two sessions, was down by 1.68 per cent.
Activities decreased further in the prime bourse. A total of 0.149 million trades were executed with 118.54 million securities of trading volume.
The market capitalization of the DSE stood at Tk 2,662.41 billion against Tk 2,702.33 billion in the previous trading session.
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