DSE turnover hits below Tk 4.0b-mark

Stocks inched lower Wednesday, a day after positive trend with turnover dipped below Tk 4.0 billion-mark after 10-session as investors went for selling spree on large and mid-cap stocks.
The market opened with a mixed trend in the morning session amid see-saw. At the end of the session, the prime index of the Dhaka Stock Exchange (DSE) --- DSEX --- ended at 4,697.54 points, shedding 6.33 points or 0.13 per cent.
The DS30, comprising blue chips lost 1.36 points or 0.08 per cent to close at 1,693.45 points. However, the DSE Shariah Index (DSES) closed positive with gaining 1.43 points or 0.14 per cent to 1,007.45 points.
The total turnover on DSE came down to Tk 3.54 billion, registering 23.8 per cent decline over the previous session's value. It was also 10-session lowest turnover since Tk 3.48 billion on February 18 last.
"Market inched lower over the selling pressure on large and mid-cap stocks which might have come from the institutional holdings as the central bank asked to limit bank's capital market exposure," said LankaBangla Securities, in its daily market analysis.
Mostly Pharma, NBFI and Insurance sectors' stocks saw selling force while the buying was seen in Banks, Textile and Power stocks, the stock broker said.
On front of financial market, liquidity in banking system has pulled down inter-bank repo rate from 6.85 per cent as of January 2014 to 6.36 per cent on 4th March, 2014, the stock broker said.
"It is now time to watch how investors react to the annual corporate declaration of stocks under high liquidity in money market and low interest rate environment".
Though, the winning streaks of UCBL, Mercantile and Southeast Bank built on the previous week's gain, Bank sector closed in red with plunge in turnover of 23 per cent, the stock broker added.
"After taking a break, market backtracked once again amid waning participation," said IDLC Investments.