Bullish trend persists
Monday, 24 December 2007
FE Report
The stock prices showed a bullish trend on the Dhaka Stock Exchange (DSE) in the week (December 17-December 19), trimmed by two days because of Victory Day and the first day of Eid Holiday.
Trading of Z-category issues continued to dominate in the week on a news that a division bench of the High Court (HC) has vacated the stay order on the SEC's move to reconstitute the board of directors of Z-category companies.
As a result, five companies out of the top 10 gainers in the week were from the Z-category. The companies were Paper Processing, Aziz Pipes, Bd Thai Aluminium, Bd Dyeing and Wonderland Toys.
In the previous week ((December 9-December 13) seven companies out of the top 10 gainers were from the Z-category.
The SEC directive was issued to help improve their financial health of the worst performing issues in the stock market.
The SEC directive had a provision to include a representative from the general shareholders in the board of directors of a Z-category company.
"The reconstituted board will prepare specific/detailed proposals for devising appropriate action plans for improving the operational and financial performance to run a Z-category company profitably," said the directive, issued five years back.
The SEC notification will now come into force with retrospective effect from November 29,2007, when the HC vacated the stay order, said an SEC source.
The turnover also marked a 23.56 per cent rise as institutions became active to some extent on buying spree following the publications of prospectuses of two new companies, Jamuna Oil and Meghna Petroleum.
Both the companies' shares will be traded through direct listing on DSE and Chittagong Stock Exchange (CSE) by the end of first week of next month (January).
All the market barometers- DSE General Index (DGEN), DSE 20 and All Share Price Index (DSI)- gained 88.63 points, 85.05 points and 71.07 points respectively and closed 3024.80, 2427.05 and 2545.99 points.
The daily average turnover rose 23.56 per cent at Tk 1.30 billion in the week against Tk 1.05 billion.
The total market capitalisation also gained 2.39 per cent to Tk 744.64 billion ($ 10.87 billion).
Out of 281 listed issues, 153 gained, 71 declined, 20 remained unchanged and 37 were not traded.
BRAC Bank was the top turnover leader with Tk 336.97 million accounting for 8.58 per cent of the week's total turnover.
United Commercial Bank, National Bank, Uttara Bank, Prime Bank, Square Pharma, AB Bank, Shahjalal Islami Bank, Summit Power and Power Grid were the other turnover leaders.
Z-category issues-Paper Processing, Aziz Pipes, BD Thai Aluminium and Bd Dyeing- were the top four gainers in the week with 20.59 per cent, 18.68 per cent, 18.52 per cent and 17.91 per cent gains respectively.
A-category issues-Eastern Lubricants and Pharma Aids and B-category issues-Bd Autocars and Tamijuddin Textiles- were also top gainers in the week.
On the other hand, Kay & Que. 8th ICB Mutual Fund and Tripti were the top three losers with 16.98 per cent, 9.62 per cent and 8.77 per cent declines respectively.
Meanwhile, the market will resume trading on Wednesday after a six-day holiday due to Eid and Christmas.
The stock prices showed a bullish trend on the Dhaka Stock Exchange (DSE) in the week (December 17-December 19), trimmed by two days because of Victory Day and the first day of Eid Holiday.
Trading of Z-category issues continued to dominate in the week on a news that a division bench of the High Court (HC) has vacated the stay order on the SEC's move to reconstitute the board of directors of Z-category companies.
As a result, five companies out of the top 10 gainers in the week were from the Z-category. The companies were Paper Processing, Aziz Pipes, Bd Thai Aluminium, Bd Dyeing and Wonderland Toys.
In the previous week ((December 9-December 13) seven companies out of the top 10 gainers were from the Z-category.
The SEC directive was issued to help improve their financial health of the worst performing issues in the stock market.
The SEC directive had a provision to include a representative from the general shareholders in the board of directors of a Z-category company.
"The reconstituted board will prepare specific/detailed proposals for devising appropriate action plans for improving the operational and financial performance to run a Z-category company profitably," said the directive, issued five years back.
The SEC notification will now come into force with retrospective effect from November 29,2007, when the HC vacated the stay order, said an SEC source.
The turnover also marked a 23.56 per cent rise as institutions became active to some extent on buying spree following the publications of prospectuses of two new companies, Jamuna Oil and Meghna Petroleum.
Both the companies' shares will be traded through direct listing on DSE and Chittagong Stock Exchange (CSE) by the end of first week of next month (January).
All the market barometers- DSE General Index (DGEN), DSE 20 and All Share Price Index (DSI)- gained 88.63 points, 85.05 points and 71.07 points respectively and closed 3024.80, 2427.05 and 2545.99 points.
The daily average turnover rose 23.56 per cent at Tk 1.30 billion in the week against Tk 1.05 billion.
The total market capitalisation also gained 2.39 per cent to Tk 744.64 billion ($ 10.87 billion).
Out of 281 listed issues, 153 gained, 71 declined, 20 remained unchanged and 37 were not traded.
BRAC Bank was the top turnover leader with Tk 336.97 million accounting for 8.58 per cent of the week's total turnover.
United Commercial Bank, National Bank, Uttara Bank, Prime Bank, Square Pharma, AB Bank, Shahjalal Islami Bank, Summit Power and Power Grid were the other turnover leaders.
Z-category issues-Paper Processing, Aziz Pipes, BD Thai Aluminium and Bd Dyeing- were the top four gainers in the week with 20.59 per cent, 18.68 per cent, 18.52 per cent and 17.91 per cent gains respectively.
A-category issues-Eastern Lubricants and Pharma Aids and B-category issues-Bd Autocars and Tamijuddin Textiles- were also top gainers in the week.
On the other hand, Kay & Que. 8th ICB Mutual Fund and Tripti were the top three losers with 16.98 per cent, 9.62 per cent and 8.77 per cent declines respectively.
Meanwhile, the market will resume trading on Wednesday after a six-day holiday due to Eid and Christmas.