\\\'Disappointing\\\' corporate results dismay investors

The stock market passed yet another sluggish session Thursday as investors were fretful over what could happen on the political front after city corporation election.
The disappointing results of some companies also discouraged the investors.
The DSEX, prime index of the Dhaka Stock Exchange (DSE), slumped 51.92 points or 1.26 per cent to close at 18-month low at 4,047.28 points.
The DSEX suffered a loss of around 483 points or 10.67 per cent in April and the market is currently standing around its major 'psychological' support level of 4,000.
The DSE Broad Index (DSEX) also came down below its base point level, which was introduced on January 27, 2013 with a base of 4,055.09 points, replacing the DSE General Index (DGEN).
The two other indices also saw steep fall. The DS30 index, comprising blue chips, lost 17.71 points or 1.13 per cent to close at 1,545.18 points. The DSE Shariah Index (DSES) dropped 12.63 points or 1.25 per cent to close at 992.54 points.
LankaBangla Securities, a stock broker, said, "Selling pressure mounted on Motijheel Street straight from the early trading as bunch of corporate declaration came with mixed performance, which made the investors cautious".
"Signs of further cutback in earnings quality in next quarters if political instability increases have made the market sentiment jerky," said the stock broker.  
"Market seems to be following snowballing movement, where loss in a session fuels further fall in ensuing sessions," IDLC Investments, a merchant bank, said in an analysis.
As investors didn't see any break in the downtrend, they withdrew or liquidated from the market, pushing stocks in even deeper discount, the merchant banker said.
A significant number of corporate declarations and earning disclosures directed market movements, it said.
"Disappointing corporate declarations of some of the companies also encouraged the investors to go for sell-off," said International Leasing Securities, a stock broker.
Turnover, the most crucial indicator of the market, improved, reaching Tk 3.82 billion, which was 20.88 per cent higher than the previous session's Tk 3.16 billion.
The major sectors yielded mixed performance. Food and allied advanced by hefty 3.42 per cent and cement closed flat with 0.09 per cent gain.
NBFIs went through a heavy correction of 3.78 per cent. Power went down by 2.73 per cent and banks retraced by 1.05 per cent. Telecommunication and pharmaceuticals lost 0.75 per cent and 0.26 per cent respectively.
The losers took a strong lead over the gainers as out of 311 issues traded, 226 declined, 54 advanced and 31 remained unchanged.
A total number of 0.100 million trades were executed in day's trading session with trading volume of 76.66 million securities. The market capitalisation stood at Tk 2,973.46 billion against Tk 2,999.41 billion in the previous session.
United Power Generation & Distribution Company continued to dominate the top turnover chart, followed by ACI, ACI Formulations, BSRM and MJL BD.
Rekitt Benckiser was the day's top gainer, posting a rise of 10.67 per cent following its handsome dividend recommendation while RD Food was the worst loser, plunging by 33.85 per cent. The food maker recommended no dividend.
The port city bourse Chittagong Stock Exchange (CSE) also ended lower with its Selective Categories Index - CSCX - fell 124.34 points to close at 7,557.43 points.
Losers beat gainers 167 to 37, with 21 issues remaining unchanged at the port city bourse that traded 17.12 million shares and mutual fund units, and recorded a turnover of Tk 422 million.
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