DGEN continues to set new record
Friday, 12 November 2010
FE Report
Dhaka stocks closed broadly higher for the third consecutive session amid volatility Thursday, riding on heavyweight Grameenphone (GP) that soared nearly seven per cent.
The DSE General Index (DGEN), the yardstick of the market, gained 0.56 per cent or 46.02 points to reach the new high of 8147.33, after touching the highest 8200.91068 and dipping the lowest 8116.96.
The broader DSE All Shares Price Index (DSI) gained 0.50 per cent or 33.90 points to end at 6792.74. The DSE-20 blue chip index was up by 1.40 per cent or 67.61 points to 4881.45.
The market initially went into the red, as the investors booked modest profit on banks and financial institutions. Later, rally in telecommunications, fuel and power, and multinational companies helped the market close higher.
However, the volume of trade continued to drop, as the investors were cautious, apprehending the possible implementation of margin loan suspension in line with the parliamentary standing committee's recommendation.
"Investors took a cautious posture due mainly to the apprehension of margin loan suspension, reducing volume of trade," said a stockbroker.
Akter H Sannamat, managing director of Prime Finance and Investment Ltd, said, "Nothing will be gained except creating volatility, if margin loan is suspended."
"In addition, the measure will confuse the investors in defining marginable and non-marginable securities. Only remedy to stabilise the market is to increase supply of shares," he added.
Turnover was Tk 22.50 billion, down by 12.7 per cent over the previous session. Gainers took a lead over the losers, as out of 232 issues traded, 125 advanced, 101 declined, and six remained unchanged.
Dhaka stocks closed broadly higher for the third consecutive session amid volatility Thursday, riding on heavyweight Grameenphone (GP) that soared nearly seven per cent.
The DSE General Index (DGEN), the yardstick of the market, gained 0.56 per cent or 46.02 points to reach the new high of 8147.33, after touching the highest 8200.91068 and dipping the lowest 8116.96.
The broader DSE All Shares Price Index (DSI) gained 0.50 per cent or 33.90 points to end at 6792.74. The DSE-20 blue chip index was up by 1.40 per cent or 67.61 points to 4881.45.
The market initially went into the red, as the investors booked modest profit on banks and financial institutions. Later, rally in telecommunications, fuel and power, and multinational companies helped the market close higher.
However, the volume of trade continued to drop, as the investors were cautious, apprehending the possible implementation of margin loan suspension in line with the parliamentary standing committee's recommendation.
"Investors took a cautious posture due mainly to the apprehension of margin loan suspension, reducing volume of trade," said a stockbroker.
Akter H Sannamat, managing director of Prime Finance and Investment Ltd, said, "Nothing will be gained except creating volatility, if margin loan is suspended."
"In addition, the measure will confuse the investors in defining marginable and non-marginable securities. Only remedy to stabilise the market is to increase supply of shares," he added.
Turnover was Tk 22.50 billion, down by 12.7 per cent over the previous session. Gainers took a lead over the losers, as out of 232 issues traded, 125 advanced, 101 declined, and six remained unchanged.