Dhaka stocks gain sharply
Tuesday, 28 September 2010
FE Report
Dhaka stocks gained sharply moving up one per cent Monday with the benchmark index crossing 7000-mark for the first time.
News of a writ petition filed by two investors challenging securities regulator's recent directive on net asset value (NAV)-based credit disbursement calculation and suspension of netting facilities of non-marginable securities encouraged the investors to take fresh aggressive positions, dealers said.
After opening strongly, the DSE General Index (DGEN), yardstick of the market, rose 67.57 points or 0.97 per cent to hit a fresh high of 7026.26 beating the previous day's record of 6958.69.
The broader DSE All Shares Price Index (DSI) shot up by 52.89 points or 0.90 per cent to 5885. The DSE-20 blue chip index rose 13.63 points or 0.33 per cent to 4137.
"The investors cheered the writ petition that took the market to a new height," said Ahmad Rashid, managing director of the Rashid Investments Services Ltd.
The High Court issued a three-month stay order on Securities and Exchange Commission's directive on NAV-based credit disbursement calculation and suspension of netting facilities of non-marginable securities.
An SEC official said, "After receiving copy of the HC, we'll decide the next course of action."
Trading activity got momentum as turnover soared to two month high to stand at Tk 22.56 billion, which was up by 18.09 per cent over the previous session.
Gainers outshined losers as out of 253 issues traded, 157 closed positive, 92 declined and four remained unchanged.
Heavyweight sectors -- bank, telecommunications and pharmaceuticals -- fell while non-banking financial institutions, energy and textile advanced. Among others, both general and life insurers climbed more than four per cent each.
Early this month, the Securities and Exchange Commission directed the merchant bankers and stockbrokers to calculate margin maintenance figure based on net asset value (NAV) of the listed securities as per last available annual or audited or un-audited financial statements and closing price of the last trading day of the week.
It also suspended the netting facilities of non-marginable securities to tame the bullish run.
Fareast Life Insurance was the turnover leader with shares worth Tk 827.83 million changing hands.
Other turnover leaders were Peoples Leasing, RN Spinning, Prime Finance, Lanka Bangla Finance, DESCO, Bextex, Beximco Ltd and Square Textile.
BGIC, a leading insurance company, rose highest 9.55 per cent.
Other Premier Leasing, Green Delta Life Insurance, Ambee Pharma, RN Spinning, Pragati Life Insurance, NTC, Karnaphuli Insurance, Phoenix Insurance and Fareast Life Insurance.
Libra Infusion was the highest loser posting a drop of 5.52 per cent. It was followed by CMC Kamal, AIMS First Mutual Fund, Apex Weaving, Kay and Que, Golden Son, Bangladesh Autocars and Saiham Textile.
Dhaka stocks gained sharply moving up one per cent Monday with the benchmark index crossing 7000-mark for the first time.
News of a writ petition filed by two investors challenging securities regulator's recent directive on net asset value (NAV)-based credit disbursement calculation and suspension of netting facilities of non-marginable securities encouraged the investors to take fresh aggressive positions, dealers said.
After opening strongly, the DSE General Index (DGEN), yardstick of the market, rose 67.57 points or 0.97 per cent to hit a fresh high of 7026.26 beating the previous day's record of 6958.69.
The broader DSE All Shares Price Index (DSI) shot up by 52.89 points or 0.90 per cent to 5885. The DSE-20 blue chip index rose 13.63 points or 0.33 per cent to 4137.
"The investors cheered the writ petition that took the market to a new height," said Ahmad Rashid, managing director of the Rashid Investments Services Ltd.
The High Court issued a three-month stay order on Securities and Exchange Commission's directive on NAV-based credit disbursement calculation and suspension of netting facilities of non-marginable securities.
An SEC official said, "After receiving copy of the HC, we'll decide the next course of action."
Trading activity got momentum as turnover soared to two month high to stand at Tk 22.56 billion, which was up by 18.09 per cent over the previous session.
Gainers outshined losers as out of 253 issues traded, 157 closed positive, 92 declined and four remained unchanged.
Heavyweight sectors -- bank, telecommunications and pharmaceuticals -- fell while non-banking financial institutions, energy and textile advanced. Among others, both general and life insurers climbed more than four per cent each.
Early this month, the Securities and Exchange Commission directed the merchant bankers and stockbrokers to calculate margin maintenance figure based on net asset value (NAV) of the listed securities as per last available annual or audited or un-audited financial statements and closing price of the last trading day of the week.
It also suspended the netting facilities of non-marginable securities to tame the bullish run.
Fareast Life Insurance was the turnover leader with shares worth Tk 827.83 million changing hands.
Other turnover leaders were Peoples Leasing, RN Spinning, Prime Finance, Lanka Bangla Finance, DESCO, Bextex, Beximco Ltd and Square Textile.
BGIC, a leading insurance company, rose highest 9.55 per cent.
Other Premier Leasing, Green Delta Life Insurance, Ambee Pharma, RN Spinning, Pragati Life Insurance, NTC, Karnaphuli Insurance, Phoenix Insurance and Fareast Life Insurance.
Libra Infusion was the highest loser posting a drop of 5.52 per cent. It was followed by CMC Kamal, AIMS First Mutual Fund, Apex Weaving, Kay and Que, Golden Son, Bangladesh Autocars and Saiham Textile.