Stocks posted the highest single-day gain in the past two months on Monday, as investors gained confidence thanks to the central bank's market supportive measures.
The market started on a flying note and remained vibrant throughout the session amid strong buying pressure from the investors, including institutional investors.
DSEX, the prime index of the Dhaka Stock Exchange (DSE), crossed the 'psychological threshold' of 5,000-mark again, soaring 79.26 points or 1.61 per cent to settle at 5000.23.
It was the biggest single-day gain in the past two months since July 23, when DSEX surged 2.24 per cent or 111 points.
Market analysts said the central bank's market supportive measures coupled with the government move to resolve Grameenphone's spat with the telecom regulator boosted investors' confidence.
The Bangladesh Bank has announced a fresh policy for providing temporary liquidity support to the scheduled banks for boosting their investment in the country's ailing capital market.
The banks will be eligible to invest such liquidity only in their own portfolios or the portfolios of their subsidiaries as loan, according to a notification, issued by the BB on Sunday.
A leading broker said optimistic investors showed their appetite on sector specific issues amid lucrative price level after recent steep correction.
Share prices of all non-bank financial institutions and banking issues closed green. The sectors gaining 3.57 per cent and 3.19 per cent respectively.
He noted that the institutional investors also became active in the market following the central bank and government's market supportive measures.
The government and top mobile phone operator have reached a consensus over settling the long disputed audit claims of Tk 125.79 billion amicably which made investors optimistic, he added.
The rally has been largely supported by large-cap shares like bank, NBFI and telecom that had been the main engine behind the day's index and turnover rise, said an analyst.
He noted that investors should be careful about the unusual price hike of low-cap companies and should not pay any heed to rumours at the time of trading shares.
Two other indices also ended higher. The DS30 index, comprising blue chips, climbed 23.44 points to finish at 1,789 and the DSE Shariah Index rose 7.97 points to close at 1,158.
Turnover, a crucial indicator of the market, rose to one-month high to Tk 5.17 billion, which was 70 per cent higher than the previous day's Tk 3.05 billion.
EBL Securities said the central bank's decision to provide liquidity support to the scheduled banks for investing in capital market has given investors the badly required confidence.
The non-bank financial institutions booked the highest gain of 3.57 per cent, followed by banking with 3.19 per cent, food 2.12 per cent, engineering 0.96 per cent, telecom 0.59 per cent and pharmaceuticals 0.44 per cent.
Only power sector posted 0.12 per cent loss.
Gainers took a strong lead over the losers as out of 353 issues traded, 282 closed higher, 53 ended lower and 18 remained unchanged on the DSE trading floor.
A total number of 121,841 trades were executed in the day's trading session with trading volume of 142.97 million shares and mutual fund units.
The market-cap of the DSE also rose to Tk 3,792 billion on Monday, from Tk 3,749 billion in the previous session.
The GP topped the turnover chart for the second straight session with shares worth nearly Tk 202 million changing hands.
International Leasing & Financial Services was the day's best performer, posting a gain of 9.61 per cent while National Polymer was the day's worst loser, plunging by 9.93 per cent.
The port city's bourse, the Chittagong Stock Exchange, also ended higher with its All Shares Price Index (CAPSI) -- CASPI-soaring 272 points to close at 15,218 and the Selective Categories Index - CSCX -advancing 165 points to finish at 9,241.
Here too, gainers beat the losers as 199 issues closed higher, 36 lower and 18 remained unchanged on the CSE.
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