Dhaka stocks head downward as investors bide time
Saturday, 29 August 2009
FE Report
The Dhaka Stock Exchange (DSE) experienced a downward trend in the week that ended Thursday after a moderate gain in the previous week.
The share price movement was a bit slow as the investors took a cautious approach eying some upcoming initial public offerings (IPOs) and the holy month of Ramadan, analysts said.
The benchmark DSE General Index (DGEN) lost 50.22 points or 1.66 per cent to end at 2,977.72. The broader All Shares Price Index (DSI) shed 44.84 points or 1.76 per cent to close at 2,501.71. The DSE-20 blue chip index tumbled 82.37 points or 3.76 per cent to finish at 2,108.74.
The market was tilted towards the decliners as out of 301 issues, 65 went into the black, 176 into the red and 60 were not traded.
The daily average turnover in the week was down by 20.31 per cent to stand at Tk 5.80 billion from the previous week's Tk 7.28 billion.
For the last couple of weeks, the benchmark index had been hovering around the 3000-mark, the psychological barrier, and it appeared that under the present circumstances it would be quite difficult for the market to break through this resistance level, according to experts. However, some say the market is ready to break the barrier.
Stocks of mutual funds increased by 3.91 per cent in the week. This sector enjoys a quota of 10 per cent in every initial public offering (IPO), so the investors respond positively to this sector as is reflected in their average daily turnover.
For the banking sector, which is the bellwether of the stock market, the month of August proved quite bearish as the turnover was lower than the usual average.
Except these two, almost all other sectors saw a decline in value during the week.
In the tannery sector, Bata Shoe and Apex Adelchi were the most dominant. Both the companies had their half-yearly results in hand. Although they just equaled the previous year's profit, their revenue is going to be much higher in the remaining half as both the major religious festivals of the Muslims will be observed during that period.
In the week, Summit Alliance Port Ltd, a leading off-dock service provider, was the top turnover leader with shares worth Tk 1.64 billion traded, accounting for 5.62 per cent of the total turnover.
The next other turnover leaders were Beximco Ltd, Bextex, Aftab Automobiles, Summit Power, EBL First Mutual Fund, and ICB AMCL 2nd NRB Mutual Fund.
The ICB posted the highest gain of 16.14 per cent. The next other top gainers were ICB AMCL 2nd NRB Mutual Fund, Kohinoor Chemicals, ICB AMCL Ist Mutual Fund, ICB AMCL Islamic Mutual Fund, ICB AMCL 1st NRB Mutual Fund and Summit Alliance Port Ltd.
City Bank, Tallu Spinning, CMC Kamal, Monno Stafflers, Chittagong Vegetables, Takaful Islami Insurance, Bangla Process, and Saiham Textile were the top losers in the week.
The Dhaka Stock Exchange (DSE) experienced a downward trend in the week that ended Thursday after a moderate gain in the previous week.
The share price movement was a bit slow as the investors took a cautious approach eying some upcoming initial public offerings (IPOs) and the holy month of Ramadan, analysts said.
The benchmark DSE General Index (DGEN) lost 50.22 points or 1.66 per cent to end at 2,977.72. The broader All Shares Price Index (DSI) shed 44.84 points or 1.76 per cent to close at 2,501.71. The DSE-20 blue chip index tumbled 82.37 points or 3.76 per cent to finish at 2,108.74.
The market was tilted towards the decliners as out of 301 issues, 65 went into the black, 176 into the red and 60 were not traded.
The daily average turnover in the week was down by 20.31 per cent to stand at Tk 5.80 billion from the previous week's Tk 7.28 billion.
For the last couple of weeks, the benchmark index had been hovering around the 3000-mark, the psychological barrier, and it appeared that under the present circumstances it would be quite difficult for the market to break through this resistance level, according to experts. However, some say the market is ready to break the barrier.
Stocks of mutual funds increased by 3.91 per cent in the week. This sector enjoys a quota of 10 per cent in every initial public offering (IPO), so the investors respond positively to this sector as is reflected in their average daily turnover.
For the banking sector, which is the bellwether of the stock market, the month of August proved quite bearish as the turnover was lower than the usual average.
Except these two, almost all other sectors saw a decline in value during the week.
In the tannery sector, Bata Shoe and Apex Adelchi were the most dominant. Both the companies had their half-yearly results in hand. Although they just equaled the previous year's profit, their revenue is going to be much higher in the remaining half as both the major religious festivals of the Muslims will be observed during that period.
In the week, Summit Alliance Port Ltd, a leading off-dock service provider, was the top turnover leader with shares worth Tk 1.64 billion traded, accounting for 5.62 per cent of the total turnover.
The next other turnover leaders were Beximco Ltd, Bextex, Aftab Automobiles, Summit Power, EBL First Mutual Fund, and ICB AMCL 2nd NRB Mutual Fund.
The ICB posted the highest gain of 16.14 per cent. The next other top gainers were ICB AMCL 2nd NRB Mutual Fund, Kohinoor Chemicals, ICB AMCL Ist Mutual Fund, ICB AMCL Islamic Mutual Fund, ICB AMCL 1st NRB Mutual Fund and Summit Alliance Port Ltd.
City Bank, Tallu Spinning, CMC Kamal, Monno Stafflers, Chittagong Vegetables, Takaful Islami Insurance, Bangla Process, and Saiham Textile were the top losers in the week.