Investors' enthusiasm buoys DSE shares

FE Team | Published: October 20, 2007 00:00:00 | Updated: February 01, 2018 00:00:00

FE Report
The rally of stocks continued on the Dhaka Stock Exchange (DSE) last week thanks to investors' enthusiasm to buy shares of some selected issues including Rupali Bank, BRAC Bank and Trust Bank.
Rupali Bank, a Z-category issue, attracted a section of investors on the media news that a final agreement on the bank's ownership will be signed next month with the Saudi bidder concerned.
The news helped Rupali Bank shares emerge the top gainer with a 45.82 per cent rise over that of the previous week. The issue also bagged the fifth top position in terms of turnover with shares worth Tk 293.95 million (29.395 crore) traded.
Investors' over-enthusiasm pushed up the Rupali Bank shares to a record price of Tk 3,124.50 each Tuesday last, when trading resumed after the Eid vacation.
The share prices of Trust Bank also crossed the Tk 1000-mark and closed at Tk 1036.50 each Thursday, the last trading day of the week, while BRAC Bank shares closed at Tk 1523.50 each.
The week witnessed only three days of trading as the stock exchanges remained closed for six days due to Eid vacation.
All the market barometers- DSE General Index or DGEN, All Shares Price Index or DSI, and DS20 gained 57.96 points, 92.79 points and 25.74 points respectively.
The DGEN, DSI and DS20 closed at 2860.56, 2425.13 and 2182.18 points respectively.
The total market capitalisation rose 3.30 per cent to Tk 687.16 billion (68,716 crore).
The daily average turnover also rose 6.87 per cent to Tk 2.50 billion against Tk 2.34 billion.
Out of 278 listed issues, 136 gained, 81 declined, 10 remained unchanged and 51 were not traded.
BRAC Bank and Trust Bank were the top two turnover leaders with shares worth Tk 589.61 million and Tk 543.47 million respectively traded.
Summit Power, DESCO, Rupali Bank, Power Grid, AB Bank, Shahjalal Islami Bank, AIMS First Mutual Fund, and One Bank followed the rally.
Apart from Rupali Bank, three insurance issues--Purabi General Insurance, Global Insurance and Green Delta Insurance--were the second, third and fourth top gainers in the week with 35.28 per cent, 29.70 per cent and 29.33 per cent rises respectively compared to the previous week.
However, the debut trading of Paramount Insurance Company Ltd is likely to begin on the DSE on October 25.
The listing sub-committee of the bourse in a meeting Tuesday last gave the approval, which would be finalised by the DSE board in a meeting scheduled for October 23, sources said.
The board meeting will also fix the debut trading date of the newly listed insurance company.
Paramount Insurance floated 0.9 million shares with the face value of Tk 100 each and the subscription took place between July 29 and August 11 last.
Paramount Insurance will be the 33rd listed insurance company of the DSE.
So far 32 insurance companies have floated 36.79 million shares in the stock market since 1989.
Of them, Prime Islami Life Insurance made its debut on the DSE this year while Pragati Life Insurance, Sonar Bangla Insurance, Asia Pacific General Insurance and Progressive Life Insurance got listed in 2006.