Dhaka stocks plummet after four-day rally
FE Report | Wednesday, 6 April 2011
FE Report
Dhaka stocks plummeted Tuesday amid volatile trading after four consecutive sessions' rise as majority of the investors booked profit from their previous purchase. However, the day's total turnover increased substantially and stood at Tk 11.48 billion in value terms, up by 8.3 per cent, from Tk 10.60 billion in the previous trading session. Market analysts termed the correction inevitable and fair after four days of continuous gain. In the last four sessions, the DGEN gained 355 points. However, the market opened with a positive mood in the morning as the DSE General Index (DGEN), the market barometer, gained 20 points within five minutes of trading started, but turned topsy -turvy throughout the whole session and finally closed 80 points lower. The benchmark DSE General Index (DGEN), the yardstick of the market, ended at 6,455.81, shedding 80.07 points or 1.23 per cent. The broader DSE All Shares Price Index (DSI) went down by 63.34 points or 1.17 per cent to 5,354.32. The DSE-20 blue chip index lost 59.45 points or 1.46 per cent to 4,012.49. "Mainly profit booking pulled the market down," observed capital market expert Akter H Sannamat. "After a four consecutive sessions' rally investors booked profit, which was obviously overdue and it was a normal and expected price correction and the correction is a sign of a sound market," said Mr Sannamat. However, he said the market is still stable and it is a normal price correction and there is no reason to be worried. A total of 76.64 million shares changed hands on the day against 77.06 million in the previous session. The trade deals increased to 210,945 against 196,260 in the previous session. The market capitalisation decreased to Tk 2,881.10 billion against Tk 2,908.56 billion Monday. The losers took lead over the gainers as out of 261 issues traded on the day, 94 advanced, 159 declined and eight issues remained unchanged. Share prices of all sectors lost except ---general insurance, jute and cement sectors. General insurance, jute and cement sectors gained 2.32 per cent, 3.86 per cent and 0.93 per cent respectively. Banking issues which cover more than one-third of the market capitalisation declined heavily, snapping the four straight sessions of rally. Out of 30 listed issues in the sector, only two banks---ICB Islamic Bank and Rupali Bank closed positive on the day. And the banking sector lost 1.81 per cent. In the NBFIs sector 21 issues, only four issues gained while 17 issues lost on the day and the sector lost 1.32 per cent. Grameenphone, the most weighted share in the DSE lost Tk 0.70 per share and closed at Tk 168.7 on the day registering 0.82 per cent fall. In the fuel and power sector 10 issues traded, only KPCL was the lone gainer while nine issues declined and the sector lost 1.43 per cent. In the textile sector 24 issues traded, only eight issues advanced and 16 issues declined in prices on the day and the sector lost 1.02 per cent. In the pharmaceuticals sector out of 20 issues, 12 issues gained and eight issues lost on the day and the sector lost 0.12 per cent. Mutual funds lost 0.93 per cent, life insurance 0.16 per cent, ceramics 1.42 per cent and tannery 2.11 per cent on the day. Aftab Automobiles topped the turnover list with shares worth Tk 484.39 million changed hands. The other turnover leaders were Confidence Cement, Beximco Limited, Bextex Limited, Union Capital, Bay Leasing, Peoples Leasing, Golden Sons, Titas Gas and BD Finance. Union Capital was the day's top losers. It lost 41.86 per cent on the day following its price adjustment after record date. It was followed by Reliance Insurance, Trust Bank, Legacy Footwear, Samata Leather Complex Ltd, Samorita Hospital, Monno Jutex, Jamuna Oil, Islamic Finance and Investment and National Housing Finance and Investment Ltd. Central Insurance was the highest gainer posting 6.69 per cent rise followed by Pragati Insurance, Ambee Pharma, Jute Spinner, Pharma Aids, Rahim Textile, Bangas, Gemini Sea Food, Sonarbangla Insurance and Dhaka Insurance.
Dhaka stocks plummeted Tuesday amid volatile trading after four consecutive sessions' rise as majority of the investors booked profit from their previous purchase. However, the day's total turnover increased substantially and stood at Tk 11.48 billion in value terms, up by 8.3 per cent, from Tk 10.60 billion in the previous trading session. Market analysts termed the correction inevitable and fair after four days of continuous gain. In the last four sessions, the DGEN gained 355 points. However, the market opened with a positive mood in the morning as the DSE General Index (DGEN), the market barometer, gained 20 points within five minutes of trading started, but turned topsy -turvy throughout the whole session and finally closed 80 points lower. The benchmark DSE General Index (DGEN), the yardstick of the market, ended at 6,455.81, shedding 80.07 points or 1.23 per cent. The broader DSE All Shares Price Index (DSI) went down by 63.34 points or 1.17 per cent to 5,354.32. The DSE-20 blue chip index lost 59.45 points or 1.46 per cent to 4,012.49. "Mainly profit booking pulled the market down," observed capital market expert Akter H Sannamat. "After a four consecutive sessions' rally investors booked profit, which was obviously overdue and it was a normal and expected price correction and the correction is a sign of a sound market," said Mr Sannamat. However, he said the market is still stable and it is a normal price correction and there is no reason to be worried. A total of 76.64 million shares changed hands on the day against 77.06 million in the previous session. The trade deals increased to 210,945 against 196,260 in the previous session. The market capitalisation decreased to Tk 2,881.10 billion against Tk 2,908.56 billion Monday. The losers took lead over the gainers as out of 261 issues traded on the day, 94 advanced, 159 declined and eight issues remained unchanged. Share prices of all sectors lost except ---general insurance, jute and cement sectors. General insurance, jute and cement sectors gained 2.32 per cent, 3.86 per cent and 0.93 per cent respectively. Banking issues which cover more than one-third of the market capitalisation declined heavily, snapping the four straight sessions of rally. Out of 30 listed issues in the sector, only two banks---ICB Islamic Bank and Rupali Bank closed positive on the day. And the banking sector lost 1.81 per cent. In the NBFIs sector 21 issues, only four issues gained while 17 issues lost on the day and the sector lost 1.32 per cent. Grameenphone, the most weighted share in the DSE lost Tk 0.70 per share and closed at Tk 168.7 on the day registering 0.82 per cent fall. In the fuel and power sector 10 issues traded, only KPCL was the lone gainer while nine issues declined and the sector lost 1.43 per cent. In the textile sector 24 issues traded, only eight issues advanced and 16 issues declined in prices on the day and the sector lost 1.02 per cent. In the pharmaceuticals sector out of 20 issues, 12 issues gained and eight issues lost on the day and the sector lost 0.12 per cent. Mutual funds lost 0.93 per cent, life insurance 0.16 per cent, ceramics 1.42 per cent and tannery 2.11 per cent on the day. Aftab Automobiles topped the turnover list with shares worth Tk 484.39 million changed hands. The other turnover leaders were Confidence Cement, Beximco Limited, Bextex Limited, Union Capital, Bay Leasing, Peoples Leasing, Golden Sons, Titas Gas and BD Finance. Union Capital was the day's top losers. It lost 41.86 per cent on the day following its price adjustment after record date. It was followed by Reliance Insurance, Trust Bank, Legacy Footwear, Samata Leather Complex Ltd, Samorita Hospital, Monno Jutex, Jamuna Oil, Islamic Finance and Investment and National Housing Finance and Investment Ltd. Central Insurance was the highest gainer posting 6.69 per cent rise followed by Pragati Insurance, Ambee Pharma, Jute Spinner, Pharma Aids, Rahim Textile, Bangas, Gemini Sea Food, Sonarbangla Insurance and Dhaka Insurance.